XRP Signals Comeback Despite Price Lag

What to Know:

• XRP is showing signs of institutional accumulation despite relatively flat year-to-date price action.
• An increase in “millionaire” XRP wallets suggests high-net-worth investors are strategically increasing their holdings.
• This accumulation trend could exacerbate a potential supply shock, setting the stage for a future price appreciation if demand increases.

XRP’s price performance has been muted so far in 2026, but beneath the surface, there are indications of renewed interest from large-scale investors. The increase in millionaire wallets, as highlighted by Santiment data, suggests that strategic players are positioning themselves for potential future gains. This subtle shift in ownership could have significant implications for XRP’s market dynamics.

Whale Wallets on the Rise

Recent data reveals a notable increase in the number of XRP wallets holding substantial balances, specifically those classified as “millionaire” wallets. This marks a reversal from a period of decline that began in September 2025. The addition of 42 new whale wallets in recent weeks signals a renewed accumulation phase, suggesting that larger investors are capitalizing on the current price levels to increase their XRP holdings.

Smart Money Accumulation

The resurgence of large-scale holders indicates that institutional or high-net-worth investors are strategically buying into the market during what they perceive as a dip. Santiment’s analysis describes this trend as “an encouraging sign for the long-term,” implying that these investors are anticipating future price appreciation. This behavior is reminiscent of accumulation phases seen in other assets before significant price movements, where informed investors quietly build positions before broader market recognition.

Potential Supply Shock

This uptick in whale balances aligns with research from ETF issuer 21Shares, pointing to a developing “supply shock” for XRP. A supply shock occurs when the available supply of an asset is constrained, often due to increased demand or strategic holding. The re-entry of large buyers could exacerbate this scarcity, potentially leading to significant price appreciation if demand accelerates. This dynamic is similar to what was observed in Bitcoin before its major bull runs, where dwindling supply on exchanges fueled price surges.

Market Sentiment and Future Outlook

For now, the market appears to be in a “wait and see” mode, with many investors likely monitoring regulatory developments and broader market trends. However, the Santiment data suggests that those with substantial capital are strategically betting on a future turnaround. This behavior reflects a degree of confidence in XRP’s long-term prospects, despite the current market uncertainty. Such accumulation phases often precede significant market movements, as large investors position themselves ahead of anticipated catalysts.

Institutional Implications

The increase in XRP holdings among high-net-worth individuals and institutions could have broader implications for its market structure. Increased institutional participation typically leads to greater liquidity and price stability, as these investors often have longer investment horizons and less volatile trading behavior. This trend could also pave the way for the introduction of new financial products, such as ETFs or other investment vehicles, further integrating XRP into the traditional financial system.

In conclusion, while XRP’s price action has been relatively subdued, the underlying data reveals a compelling narrative of institutional accumulation. The increase in millionaire wallets and the potential for a supply shock suggest that strategic investors are positioning themselves for future gains. This behavior, combined with the potential for increased institutional participation, paints a cautiously optimistic picture for XRP’s long-term prospects within the evolving digital asset landscape.

Related: Crypto: Bitcoin Miners Capitulate, XRP Reveal

Source: Original article