Ripple’s XRP slid for a fourth straight day, retreating to $1.1305 after trading as high as $1.2875 this week, as the broader cryptocurrency market pulled back. The move came even as exchange-traded funds linked to XRP continued to attract new money, underscoring a divergence between ETF demand and spot-market momentum.
Investor attention is now split between continued inflows into XRP ETFs and signs of slower activity on the XRP Ledger, a combination that could keep volatility elevated in the near term.
Key takeaways
- Price move: XRP fell to $1.1305, extending a four-day losing streak after peaking near $1.2875 this week.
- Catalyst: ETF data showed ongoing inflows, but network metrics pointed to ongoing softness in payments, DeFi usage, and transaction-related earnings.
- Key implication: Sustained ETF demand may help limit downside, but weaker ledger activity can cap upside and keep traders focused on technical levels.
- Next level to watch: Market structure and indicators point to further risk toward $1.00 if selling pressure persists.
XRP ETF inflows support the narrative of resilient demand
Data compiled by SoSoValue indicated that XRP ETFs added $10.6 million in assets this week following a similar inflow last week. Over the month to date, total additions were reported at $23 million, bringing cumulative inflows since approval to over $1.45 billion.
While the broader crypto complex has been retreating, the ETF stream provides an important counterweight for XRP. According to the same dataset, the contrast is stark: spot Bitcoin ETFs reportedly lost $226 million this week and $2.26 billion during the month, while Ethereum ETFs saw outflows rise to $198 million. Year-to-date flows were also reported negative for both asset classes.
For XRP, the message investors appear to be taking from these numbers is that some allocation demand remains intact even when token prices weaken. The article noted that investors may be positioning for a bounce after XRP’s reported 40% retreat this year, which would align with continued ETF participation rather than panic selling.
On-chain signals point to a tougher operating environment
Despite the ETF-supportive flow backdrop, the XRP Ledger has faced growth challenges this year, according to data cited from XRPScan. The number of payments reportedly continued to decline, falling to 452,000—the lowest level since October of last year.
The report also highlighted weakening momentum in other network indicators. It said active addresses and the burn rate have been falling this year, and that the XRP Ledger’s role in decentralized finance (DeFi) has eased over recent months. Total value locked (TVL) was cited at $39 million, the lowest since September 2024, down from a peak of over $100 million.
These dynamics appear to have fed through to revenue. The article stated that fees have been weak, with the network generating just $43,000 in quarterly fees—described as the lowest level in years. Quarterly fees have been reported in a sharp decline since peaking at $1.4 million in 2024.
One positive signal noted was the continued growth in stablecoin supply on the ledger. The report said stablecoin supply now stands at over $784 million, driven by demand for Ripple USD (RLUSD).
Technical picture remains bearish toward $1.00
Technical analysis in the article suggested that XRP’s near-term outlook is still skewed lower. It said the token experienced a bearish breakout below a key support level at $1.2748, described as the lowest area touched in February, April, and May. The report also referenced a breakdown below the lower edge of a multi-month horizontal channel.
It further noted that XRP is trading below the 50-day and 100-day exponential moving averages (EMAs). The report also cited momentum indicators, including the MACD lines remaining below the zero line and the Relative Strength Index (RSI) continuing to fall.
Given the alignment of these indicators, the article concluded that the path of least resistance is bearish, and identified $1.00 as the next key level investors may watch if selling pressure continues.
Bigger picture: flows vs. fundamentals set up a volatile balance
The current setup for XRP looks like a tug-of-war between capital inflows and ledger-level fundamentals. ETF demand appears to be supporting the asset even as broader market conditions remain pressured and the XRP Ledger’s usage metrics show continued erosion in key areas such as payments and DeFi TVL. Meanwhile, stablecoin growth tied to RLUSD offers a potential stabilizer, but it has not yet translated into improved activity or stronger fee generation, based on the figures cited.
For market participants, the near-term focus will likely be whether ETF inflows can persist while technical pressure plays out toward major support around $1.00. Traders and investors will also be watching for any data releases that could affect broader risk appetite across crypto markets, as well as upcoming macro events that influence liquidity and interest-rate expectations.
