XRP Boycott Movement Triggers Supply Crunch On Coinbase Following CLARITY Act News

bitcoinistPublished on 2026-04-02Last updated on 2026-04-02

Abstract

XRP investors are rapidly withdrawing their tokens from Coinbase, causing a sharp decline in the exchange's available supply. This movement is a form of boycott triggered by two main issues: Coinbase's alleged opposition to the CLARITY Act and claims it requested millions from Ripple to list XRP in 2019. Supply has plummeted by nearly 90% in months, with net outflows reaching up to 95 million XRP. Analysts warn this could lead to a supply shock if buying pressure returns. Amid the volatility, price predictions for XRP vary widely, with conservative targets for this cycle between $5-$15 and more optimistic forecasts reaching up to $40.

XRP Investors on Coinbase have been leaving the trading platform at a rapid rate, as evidenced by a sharp contraction in available supply. An interesting part of this development is the trigger behind the decline in supply on the Coinbase platform.

Coinbase Sees Declining XRP Supply

Recent news surrounding Coinbase is garnering significant attention in the broader cryptocurrency space, which appears to have affected XRP holders on the leading American-based crypto exchange. As a result, there has now been a sharp decline in supply on the platform.

Crypto enthusiast and advocate Diana on X shared that supply has declined on the exchange over the controversial CLARITY Act, effectively staging a boycott that is tightening liquidity. Amid a growing wave of holder resistance, this change highlights growing tensions between the XRP community and regulatory initiatives.

As of late March 2026, the altcoin’s balance on Coinbase has dropped to about 101.86 million XRP after a boycott. Historically, these kinds of behavior have influenced price movement in the upcoming weeks or months, making it a crucial moment for the token and its short-term trajectory.

As the development swells across the space, some analysts are claiming that the supply plunged by almost 90% in just a few months. This trend has been attributed to 2 major issues currently taking place in the crypto market that have left investors speechless. One of the issues is that Coinbase is allegedly blocking the CLARITY Act by rejecting bill drafts in two separate scenarios. The other is the leaked claims that Coinbase requested millions of dollars from Ripple Labs to list XRP back in 2019.

Diana highlighted that recent 30-day snapshots point to net outflows, ranging from around 20 million to 95 million XRP. What this means is that holders are pulling their coins off Coinbase and moving them to self-custody or other exchanges. If this withdrawal trend persists, Coinbase might end up holding one of the lowest XRP reserve levels the company has seen in years. Furthermore, Diana stated that the trend could lead to a supply shock if buying pressure comes back.

How High Can The Altcoin Go

With the market being highly volatile, many investors find XRP’s outlook unclear. However, Don Digital Finance has delved into the conversation, offering key insights on the altcoin’s path and how high it can actually go in this cycle.

Starting off, the expert highlighted Standard Chartered’s prediction, which claims that the altcoin could be valued at $10.40 by 2027. Some models have predicted an $8 value this year, while others forecast XRP to reach as high as $40 and beyond in the long run.

A $40+ valuation implies a $2 trillion market cap for the altcoin, and the expert declares that this is where real institutional adoption will begin. An $100 valuation is not completely off the table, but it will take the cryptocurrency to become a global asset alongside a crypto move to hit this level.

In the meantime, the most realistic price level for the token is somewhere around $8 to $40 this cycle. At this point, the conservative view sits around the $5 to $15 range, but the expert’s main target for this cycle is $28.

XRP trading at $1.35 on the 1D chart | Source: XRPUSDT on Tradingview.com

Related Questions

QWhat triggered the sharp decline in XRP supply on Coinbase according to the article?

AThe decline was triggered by a boycott movement from XRP investors in response to Coinbase allegedly blocking the CLARITY Act and leaked claims that Coinbase requested millions from Ripple Labs to list XRP in 2019.

QHow much has XRP's balance on Coinbase dropped to as of late March 2026?

AXRP's balance on Coinbase has dropped to about 101.86 million XRP as of late March 2026.

QWhat are the two major issues mentioned that have contributed to the supply decline?

AThe two issues are: 1) Coinbase allegedly blocking the CLARITY Act by rejecting bill drafts, and 2) Leaked claims that Coinbase requested millions of dollars from Ripple Labs to list XRP back in 2019.

QWhat potential price targets for XRP are discussed in the article?

AThe article mentions price targets ranging from $8 to $40 in the current cycle, with Standard Chartered predicting $10.40 by 2027, and some long-term forecasts suggesting $40+ or even $100 under specific conditions.

QWhat did Diana's analysis reveal about XRP net flows on Coinbase over 30 days?

ADiana's analysis of recent 30-day snapshots showed net outflows ranging from approximately 20 million to 95 million XRP, indicating holders were moving their coins off Coinbase to self-custody or other exchanges.

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