Why Is XRP Stuck at $1.50? Record Supply on Binance Raises Questions!
Quick Update
The XRP Scarcity Index on Binance plummeted from 0.77 in July to −0.94 in September, signifying the highest available trading supply since January 2025.
The movement of traders towards Sui (+18%), Hedera (+13%), and Chainlink (+8%) provides a clearer insight into XRP’s price stagnation than just the increased supply on Binance.
Evernorth’s upcoming Nasdaq listing on October 8 will introduce 473 million XRP; however, it is unlikely to create any purchasing pressure as the firm already owns these tokens.
According to CryptoQuant, on-chain data indicates that the tradable XRP (CRYPTO:XRP) on Binance has reached its highest point since January 2025. By September 30, the exchange’s XRP Scarcity Index fell to −0.94, raising concerns among traders as to whether this increase in availability is affecting XRP’s struggle to move beyond $1.50.
As of October 2, 2026, XRP trades at around $1.52, making it the only leading cryptocurrency to have dropped about 0.2% in the past week. In comparison, Bitcoin (CRYPTO:BTC) and Ethereum (CRYPTO:ETH) each increased by approximately 2%, while Solana (CRYPTO:SOL) experienced a rise of around 5%.
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Higher Availability of XRP on Binance, Yet Overall Holdings Decrease
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The scarcity index gauges the extent of XRP available for trading on Binance relative to historical figures. A higher score signifies rarity, while a lower score indicates ample supply. Recently, this index saw a substantial dip from 0.77 in July—the highest in two years—to −0.94 by the end of September.
Despite this, the total XRP held by Binance reduced by about 20% since November 2024, even following the transfer of 3.8 billion XRP to Binance earlier in 2026. This decrease implies that while the overall availability of XRP on the exchange has dipped, a larger amount has shifted from cold storage to trading wallets, facilitating easier transactions.
Availability of XRP on Binance Doesn’t Guarantee Sales
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Having an increase in coins available for trading simplifies the selling process; however, it still necessitates that sellers place orders and buyers make purchases. The scarcity index reflects merely the trading availability and does not account for actual sales transactions.
Exchanges retain XRP for various purposes besides selling. Market makers, who facilitate trades by establishing buy and sell orders, also require access to these coins. Additionally, traders frequently utilize XRP as collateral for loans and leveraged positions. Consequently, the rise in tradable XRP might be a reflection of market makers enhancing liquidity rather than sellers preparing to offload coins.
Traders Shift Focus to Chainlink, Sui, and Hedera as XRP Fails to Gain Traction
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A clearer picture of XRP’s recent challenges can be discerned from the performance of smaller cryptocurrencies. Over the past week, Chainlink (CRYPTO:LINK) saw an increase of around 8%, Sui (CRYPTO:SUI) grew by about 18%, and Hedera (CRYPTO:HBAR) advanced roughly 13%. This transition suggests traders are pursuing quicker returns by investing in lesser-known coins.
For selling XRP, traders need to first move their coins to a trading wallet. This added step impacts Binance’s scarcity reading and may add downward pressure on XRP’s price. Both indicators could be linked to the trend of traders moving towards altcoins.
Evernorth to List on Nasdaq on October 8 with 473 Million XRP
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A critical event is set for October 7, with Evernorth’s merger with Armada Acquisition Corp. II scheduled to be finalized after receiving shareholder approval on September 30. Evernorth intends to debut on Nasdaq with the ticker XRPN on October 8, which will include approximately 473 million XRP valued near $719 million.
However, since Evernorth already possesses these tokens, the listing will not create immediate buying pressure. The 473 million XRP is less than 1% of its total market capitalization of $96 billion, suggesting any new demand will originate from investors actively purchasing additional XRP.
Could Binance’s Supply Be the Reason XRP Hovers at $1.50?
While XRP’s supply on Binance partially explains its price stagnation around $1.50, it is just one factor among many. Although more XRP is trading now, Binance’s overall holdings have decreased since late 2024. The shift in investor interest toward smaller cryptocurrencies is contributing to both the rise in available supply and the sluggish performance of XRP.
Whether the increased Binance supply is truly causing XRP to remain around $1.50 will be clearer following Evernorth’s October 8 listing. If the scarcity index rebounds towards zero after the listing and XRP starts to exit trading wallets, supply concerns may diminish. Conversely, if XRP drops below $1.50—approximately 1% lower than its current price—while the scarcity measures remain deeply negative, the Binance supply might indeed be influencing greater selling pressure.
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