Binance is Dumping XRP, Expert Says Amid Price Decline

A crypto expert has shared that Binance is deliberately dumping XRP. It has led to increased price pressures on the token, according to the expert. This comes as the altcoin is experiencing a gradual decline despite favorable fundamentals.

Expert Claims Binance Is Manipulating XRP Price

In a recent thread on X, crypto expert Pumpius suggested that Binance has been actively placing sell pressure on XRP to suppress its breakout potential. They argued that the exchange’s model revolves around retail traders and creating artificial liquidity drains. 

According to Pumpius, the altcoin’s threat lies in its utility, which could undermine the very market-making strategies Binance has relied on for years. They also pointed out a recurring pattern. Whenever Ripple secures positive headlines, such as the end of the XRP lawsuit, sudden waves of sell pressure hit its markets. 

They argued that this is no coincidence, but rather a deliberate effort to maintain the token as “just another altcoin.”

In support of this view, crypto analyst Pepesso highlighted that Binance offloaded more than $1.5 billion worth of Ethereum in just one week. The exchange funneled the transactions through the market-making firm Wintermute to obscure its own role. 

They argue that coordinated selling creates the illusion of organic market pressure while liquidating leveraged traders en masse. Similar patterns were spotted in Solana markets. Some people believe that prices are being kept low on purpose. 

Critics argue that these actions aim to increase profits for exchanges by forcing traders to liquidate their positions. This is similar to what happened in 2024, when many traders lost hundreds of millions of dollars in just one day.

XRP Price Under Pressure Despite Recovery Attempts

Over the past week, the XRP price has declined by 4%, despite the broader market staging a modest recovery. However, the token has made a minor comeback, increasing by 1.94% to $2.80.

Notably, the Crypto Fear & Greed Index has moved into “neutral” territory, dropping from “greed” levels a month ago. On-chain data supports this change, indicating that the number of active addresses on the XRP Ledger has decreased from approximately 45,000 in mid-July to around 20,000 currently. 

This slowdown suggests that many investors are becoming cautious. The change makes the token more susceptible to selling pressure from external sources. However, some investors are still active in the market.

CoinGape previously reported that whales have added approximately 340 million tokens over the last two weeks. Additionally, Chinese supply chain giant Linklogis recently tapped the XRP Ledger to support its global finance platform. This marks another step forward for Ripple’s ecosystem in Asia. In light of these developments, the token could be poised to reach its prior highs.