XRP (CRYPTO: XRP) is stuck in sideways to downtrending market, with a 4% drop on Wednesday reversing much of the hard-earned gains over the past week.

Meanwhile, the XRP Ledger’s latest software upgrade continues gaining support from network validators.

Bottom Or Last Flush?

Crypto analyst CryptoInsightUK highlighted rising open interest across Bitcoin and XRP derivatives markets alongside persistent positive funding rates, suggesting leverage has rebuilt during the recent rebound.

He continues to watch liquidity clustered below recent lows, identifying the $0.93-$1.00 area as a preferred accumulation zone before a potential move toward significantly higher liquidity resting between roughly $1.70 and $1.84.

Despite expecting a possible final flush, the analyst maintained a longer-term bullish outlook, citing higher-timeframe bullish divergences and favorable risk-reward for long-term investors.

The analyst pointed to pressure in Japanese financial markets, including the weak yen, elevated U.S. Treasury yields and concerns over Japan potentially selling Treasuries to support its currency.

Any stress spilling over into global markets could briefly weigh on cryptocurrencies before becoming a catalyst for renewed monetary easing.

XRP Ledger’s Software Upgrade

XRP Ledger’s latest server software, v3.2.0, continues gaining traction across the network.

According to XRPSCAN data, about 43% of the network’s roughly 833 active nodes have upgraded to v3.2.0, while approximately 51% continue running the previous v3.1.3 release.

Validator adoption has progressed much faster. Thirty-one of the XRP Ledger’s 35 validators on the default Unique Node List have already upgraded, representing roughly 89% adoption, CoinDesk reported.

It is comfortably above the 80% threshold required for amendments to activate after two consecutive weeks of support.

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