If You Want to Buy 10M XRP on Binance, You Will Start at $2.6 and End at $15. Here’s Why

In today’s digital asset landscape, liquidity is paramount. A market can appear healthy and deep until a significant volume is attempted, at which point the illusion can shatter. The XRP market is currently exhibiting fragility, with large buyers encountering difficulties in accumulating substantial amounts without triggering significant price drops.

This reality was recently underscored by crypto analyst Vincent Van Code, who highlighted a striking liquidity imbalance on Binance. He revealed that only approximately 4 million XRP are currently visible on the exchange's order book.

According to Van Code, any buyer attempting to purchase 10 million XRP through Binance would begin at around $2.60 per XRP and conclude their order near $15. This scenario points to a potential supply squeeze across both public and private markets.

The Liquidity Illusion on Exchange Order Books

Exchange order books, such as Binance’s, provide only a snapshot of visible liquidity—the resting limit orders publicly displayed by traders. In reality, this visible depth is often shallow. The figures may seem substantial until a large buy order consumes the top layers of available liquidity, leading to rapid price escalation.

This is the mechanism behind Vincent Van Code’s observation. With only a few million XRP in resting sell orders, a sudden market buy of 10 million XRP would sweep through the book, driving the price exponentially higher. The slippage, in this case, is not a theoretical risk but a mathematical certainty.

Why Institutional Buyers Rely on OTC and Wholesale Channels

To circumvent such significant price impacts, institutional buyers typically utilize Over-the-Counter (OTC) and wholesale liquidity desks. These private trading venues facilitate large block transactions outside the public order book, offering anonymity and price stability.

However, according to multiple market data sources and community analysts, OTC liquidity for XRP is diminishing. Fewer counterparties are willing to sell at current prices, and large holders are opting to hold their assets in anticipation of a potential bull run. This creates a feedback loop: as supply tightens off-exchange, those who must source XRP publicly face even greater slippage.

Bots and Algorithms Are Keeping Prices Stable

Despite thinning liquidity, market-making algorithms and trading bots continue to operate on Binance and other exchanges. These programs break down large orders into smaller ones, executing them gradually to prevent sharp price spikes.

Nevertheless, this approach only delays the inevitable. When OTC and wholesale inventories deplete, even the most sophisticated execution algorithms will encounter a market lacking sufficient willing sellers. This creates a fragile balance that a single large buy order from an institution could easily disrupt.

The Coming XRP Supply Crunch

If Vincent Van Code’s analysis proves accurate, XRP may be approaching a supply squeeze scenario, similar to those that preceded historic bull cycles. When exchange liquidity dries up and holders refuse to sell, price discovery can become explosive.

Under such conditions, even moderate market demand can send XRP’s price soaring in short bursts. The implication is clear: the XRP market may be far thinner than it appears, and any substantial buying pressure could trigger significant upward price movements.

In conclusion, Vincent Van Code’s observation serves as a stark reminder of how deceptive crypto market depth can be. With only a few million XRP visible on Binance’s order book and OTC channels reportedly running dry, large-scale accumulation is becoming increasingly challenging.

In the near term, this tightening liquidity could make XRP one of the most volatile and reactive digital assets on the market, particularly if institutional interest continues to grow. As the ecosystem braces for what may come next, one certainty remains: the true price discovery for XRP has barely begun.