XRP at Critical Support as ETF Inflows Grow
XRP price has fallen to a crucial support level at $1.8430, down 47% from its year-to-date high, as the broader crypto market sheds over $1.2 trillion in value. The XRP price decline cut its market capitalization from nearly $200 billion to $115 billion. Despite the sell-off, ETF inflows have been consistent since approval, with Canary and Bitwise funds attracting $422 million. Upcoming Franklin Templeton and Grayscale ETFs could boost net assets beyond $5.7 billion if they reach 5% of XRP’s market cap. The Ripple USD stablecoin also surpassed a $1 billion market cap, while futures open interest fell from $10 billion to $3.3 billion, reducing leverage. Technical analysis shows XRP trading below its 50% Fibonacci retracement and moving averages. A breakdown below $1.8430 would confirm a double-top pattern and risk a drop to $1.50, while holding support may target a rebound to $2.50.
Neutral
XRP price resting at a key support level presents a neutral outlook for traders. While sustained ETF inflows and stablecoin growth offer bullish catalysts, the risk of breaking $1.8430 support and confirming a double-top pattern could trigger further declines toward $1.50. Historical precedents, such as Bitcoin ETF approvals, show that inflows can underpin prices over months, yet initial sell-offs often precede sustainable rallies. Reduced futures open interest lowers liquidation risks, supporting stability. In the short term, market reaction to upcoming ETF launches and technical confirmation at support will dictate price direction. In the long term, persistent institutional demand via ETFs and stablecoin adoption may propel XRP higher, but traders should monitor support integrity and macro crypto market trends before positioning for a reversal.