XRP Volume Z-Score Crashes on Binance: Here’s What Happened The Last Time This Occurred

The XRP Volume Z-Score on Binance has crashed to lows last witnessed in December 2025, indicating reduced trading activity.

XRP is still trying to recover from a long downtrend that has dragged its price down by 53% since October 2025. Amid the downturn, Arab Chain, a verified analyst on CryptoQuant, calls attention to a drop in XRP’s Volume Z-Score on Binance. The metric has now fallen to its lowest level since late 2025.

Key Points

• Amid the ongoing downtrend, the XRP Volume Z-Score on Binance has dropped to its lowest level since late 2025.
• The Volume Z-Score (30d) fell below -1, indicating trading volume has crashed below its monthly average.
• This decline indicates lower participation, especially from short-term traders, as well as reduced volatility.
• The last similar figure in late December 2025 saw XRP rise from $1.85 to $2.41 by January 2026.

Market Implications of the XRP Volume Z-Score

Arab Chain explained that the drop in the Volume Z-Score indicates weaker momentum and reduced interest from short-term traders. This suggests that many traders who usually follow quick market moves have stepped back for now.

According to him, the 30-day Volume Z-Score measures how current trading volume compares to its average over the past month. 

When the value turns negative, it means the current trading activity has fallen below normal levels. Recent data shows the indicator has dropped below -1, one of its lowest points since 2025, confirming a clear slowdown in XRP trading on Binance.

At the same time, XRP’s price has followed a similar downward path. After reaching a high of $3.6 in July 2025, the price has continued to fall into lower ranges. 

From this peak, XRP has lost nearly 63% of its value. Although investors expected better performance in 2026 after a 11.54% decline in 2025, the asset has already dropped another 26.81% in 2026, adding to the negative trend.

What Happened the Last Time XRP Reached Similar Levels

Arab Chain pointed out that when volume falls like this, it often means investors are waiting for clearer signals before making new moves. Most of them prefer to stay on the sidelines until they see a more defined trend. As a result, the lower volume may also indicate reduced volatility.

Speaking further, he stressed that a falling Z-Score shows lower participation, especially from short-term investors who depend on strong volume and momentum. When market activity drops to this level, the market often enters a range-bound phase. This phase usually comes before a stronger move, either downward or upward, depending on what happens next.

Looking at past data helps put the current situation into context. The last time XRP’s Volume Z-Score on Binance dropped to similar levels was in late December 2025, when the price stood around $1.85. At that time, market activity had also slowed down in a similar way.

As the Z-Score began to rise again, XRP’s price saw a strong rebound. The price climbed to $2.41 on Jan. 6, 2026, while the Volume Z-Score surged toward 2.1. This showed how quickly the price can react once trading activity picks up again. However, the rally did not last. After reaching $2.41, XRP hit resistance and started to pull back.