XRP (CRYPTO: XRP) has remained in a deep bear market, hovering near its year-to-date low as ETF inflows slow and momentum surrounding Ripple USD (RLUSD) fades. The token was trading at $1.0424, just a few cents above its year-to-date low of $1.007.
XRP ETF Inflows and RLUSD Momentum Slows
XRP token has remained on edge and underperformed top coins like Bitcoin (CRYPTO: BTC) and Ethereum (CRYPTO: ETH).
Data shows that XRP ETF have lost momentum in the past few months. These funds had just $1 million in inflows this week, down sharply from the $14 million they added last week.
The funds added $27 million in inflows in July, down from $59 million in June and $131 million in May this year. This is a sign that the inflows are not moving in the right direction. Bitwise’s XRP, Franklin’s XRPZ, and Canary’s XRPC have $303 million, $245 million, and $237 million in assets, respectively.
In contrast, spot Bitcoin ETFs added over $800 million this week, while Ethereum funds had $244 million in inflows.
Meanwhile, Ripple Labs’ stablecoin is also losing momentum. RLUSD’s market capitalization has fallen from $1.81 billion in June to $1.58 billion today. According to Artemis, its trading volume has increased over the past 30 days, but the number of holders has declined by 8.5% to 26,200 over the same period. This divergence suggests that while activity around RLUSD has increased, its user base has continued to shrink.
These developments after the network launched the v3.3.0 of the XRP Ledger platform. This upgrade introduced features like confidential transfers, batch transactions, and sponsored fees and reserves.
XRP Price Sits at a Crucial Support Level
Ripple token has been in a steep decline since peaking at $3.6575 in November 2024. It has now landed at a crucial support level, where it has failed to move below several times since June. It is also along the psychological level of $1.000, which is also the lower side of the descending triangle pattern.
The token has dropped below the 50-day and 100-day Exponential Moving Averages (EMA), a sign that bears remain in control. Therefore, the path of the least resistance is downwards, which will be confirmed if it drops below the support of $1.00.
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