About 56 percent of XRP in circulation is counted as long-term holdings that have not moved for more than 1 year.

The Crypto Basic, a blockchain media outlet, reported on Oct. 19 that XRP held for more than 1 year exceeded 38 billion tokens. The share rose to 55.91 percent as of Oct. 16 from about 51 percent at the start of the year.

On-chain indicators showed a clear shift, with short-term holdings shrinking and moving into mid- to long-term holding bands. Glassnode's XRP HODL Waves indicator breaks down circulating supply by how long tokens have remained unmoved in wallets. On that measure, the 6-month to 12-month band posted the biggest rise, increasing to 27.683 percent from 19.351 percent. Those holdings accumulated between October 2025 and April 2026, overlapping with a period when XRP fell sharply from its peak.

The 1-year to 2-year band also surged to 16.742 percent from 11.698 percent, leading the expansion in long-term holdings. The 7-year to 10-year band also rose to 5.411 percent from 3.894 percent. The 3-year to 5-year band, which was the largest long-term holding band at the start of the year, fell to 17.801 percent from 18.432 percent, and the 2-year to 3-year band slipped to 5.073 percent from 5.621 percent. The 5-year to 7-year band and the over-10-year band also declined.

The contraction in short-term holders was more pronounced. The 1-month to 3-month band fell to 3.518 percent from 12.286 percent, and the 3-month to 6-month band dropped to 6.142 percent from 10.588 percent. The combined share of the two bands was above 22 percent at the start of the year but fell below 10 percent on Oct. 16. That indicates that tokens staying in the market for short periods have declined rapidly.

Still, the expansion in the share of long-term holdings does not necessarily mean new buying. The more tokens remain in wallets, the less supply may be immediately available for trading on exchanges.

The decline in exchange holdings confirmed this year also supported the same trend. If demand holds, it could be positive for prices, but the data alone cannot confirm further gains.

A key point to watch is whether the recently increased 6-month to 12-month holdings actually move into the 1-year or longer long-term holding band. If those tokens continue to remain unmoved, the share of long-term holdings in XRP circulation could rise further, and supply available for trading in the market could shrink further.