Bitcoin, Ethereum and Ripple’s XRP began the new week with a more stable tone after a sharp sell-off in the prior days, with market participants pointing to early signs of technical support holding. Over the past week, the broader market saw bitcoin and ethereum slide by roughly 4% and 2%, respectively, while XRP fell about 6%, reflecting risk-off pressure across digital assets. Early Monday trading has been marked by consolidation and tentative stabilization as buyers defend key levels.
XRP, in particular, has struggled to build momentum despite some institutional activity, down about 1% over the last 24 hours to trade around $1.13. The day’s direction appears shaped by a tug-of-war between ETF inflows and positioning signals that still lean cautious.
Key takeaways
- XRP was last around $1.13, slightly lower on the day, holding a consolidative range after a week of broader declines.
- ETF flows offered some support, with XRP ETFs recording an inflow of $2.4 million on Friday, according to data compiled on CoinGlass.
- Derivatives positioning remains mixed: the long-to-short ratio was below 1 while the open-interest-weighted funding rate flipped slightly positive.
- Near-term outlook stays constrained by technical levels, with analysts indicating the June low could be tested if bearish momentum persists.
What drove XRP’s early week trading
Ripple’s XRP has been hovering around the $1.13 area after recent consolidation, after a volatile week that pulled down multiple major cryptocurrencies. The market backdrop remains mixed, and investors are focusing on whether institutional demand can counterbalance declining retail participation.
According to CoinGlass’s XRP ETF page, XRP-related exchange-traded products recorded inflows of $2.4 million on Friday. CoinGlass data also showed that Thursday saw no inflows, while other days continued to attract net flows. The pattern has been interpreted by traders as evidence of selective institutional buying during periods of weakness.
However, retail participation appears to be softening. CoinGlass data cited in the report placed XRP’s long-to-short ratio at 0.8474. Readings below 1 are generally associated with bearish positioning, suggesting more traders are prepared for additional downside rather than a sustained rebound.
Adding to the mixed read-through, the open-interest-weighted funding rate for XRP has turned slightly positive at 0.0051%, according to CoinGlass data referenced in the article. In many derivatives markets, a positive funding rate can indicate longs are paying shorts, which traders often view as a mild bullish tilt—though not necessarily a full reversal of the trend.
Open interest has also eased. The report said XRP futures open interest (OI) dropped to $2.6 billion from $2.8 billion recorded on Friday. Lower OI typically signals reduced participation, which in this context has been read as retail traders cutting exposure as they anticipate another test of support.
Market reaction and technical signals to watch
The technical picture remains cautious. The article described XRP’s XRP/USD 4-hour chart as “extremely bearish,” with the token trading below the 50-day, 100-day and 200-day exponential moving averages. That alignment generally implies rallies may face selling pressure until price can reclaim key averages.
Momentum indicators suggest only a limited improvement rather than a confirmed trend change. The report said the relative strength index was around 43, and the MACD histogram had turned slightly positive, pointing to a modest easing in downside momentum. Even so, the broader structure still leans to the downside in the near term.
For traders looking for upside triggers, the first area of resistance highlighted in the report is the channel boundary near $1.204. If XRP were able to push past that level, the next hurdles are the 50-day EMA around $1.253 and a horizontal resistance line near $1.300. Above that, the 100-day EMA near $1.350 and the 200-day EMA around $1.556 were flagged as additional supply zones, meaning any sustained rally would likely need broad confirmation.
Conversely, if bearish pressure persists, the report pointed to a likely retest of the June low near $1.05. It also noted that a decisive break under that support could put the $1.0 psychological level at risk.
Bigger picture: ETF inflows versus positioning
Investors are weighing two competing forces: incremental institutional demand through XRP ETFs and a derivatives backdrop that still signals caution among traders. While Friday’s $2.4 million inflow—per CoinGlass—supports the case for continued institutional interest, the longer-to-short reading under 1 and the decline in futures open interest suggest that retail risk-taking is not yet returning.
That combination helps explain why XRP’s recovery efforts have been described as constrained. Even with funding turning slightly positive, the market still appears to be waiting for confirmation from both price action and participation metrics before committing to a durable trend.
Looking ahead, traders are likely to watch whether XRP can hold the $1.13 region and whether it can challenge the $1.204 resistance level. If the asset fails to regain upside traction, attention may shift toward the June low near $1.05 and the $1.0 level. Broader crypto direction will also remain sensitive to macro drivers that influence risk appetite across markets, including interest-rate expectations and incoming economic data.
