Ripple's XRP token is currently trading at $1.32, down 3% over the past day and 7% over the past week, pulling back from an August rally that saw the asset surge 72% from $1.00 to $1.70.
The pullback reflects profit-taking after the strong month-long advance, amid broader headwinds in cryptocurrency markets. Bitcoin has fallen beneath $77,000 while Ethereum trades below $2,400. Escalating geopolitical tensions between the United States and Iran have pressured risk-sensitive assets, with crude oil rising and expectations growing for more aggressive Federal Reserve policy.
The cryptocurrency Fear & Greed Index declined to 63 from 69 the previous day, signaling weakening sentiment. Analysts identified the $1.30 level as a key psychological barrier.
Institutional Capital Continues Flowing In
Despite price weakness, institutional investment in XRP remains resilient. US-based spot XRP exchange-traded funds recorded $14 million in net inflows on Tuesday, up from $6 million on Monday. Cumulative ETF inflows have reached $1.68 billion, with average net assets at $1.44 billion.
Ripple also conducted its regular monthly escrow operation, releasing 1 billion XRP tokens before returning 700 million XRP to locked storage as part of its predictable supply management mechanism.
Network Metrics Show Strength
Blockchain fundamentals present a contrasting picture to spot market performance. The XRP Ledger has surpassed 3 billion cumulative transactions, accompanied by a 200% increase in on-chain transaction volume despite cooling prices. Futures Open Interest rose modestly to 2.29 billion XRP.
Technical Outlook
XRP is trading beneath its 200-day exponential moving average at $1.35, which now functions as overhead resistance. The Relative Strength Index rests near 55, indicating diminishing upward momentum, while the MACD indicator has returned to negative territory.
Support converges around the 50-day and 100-day exponential moving averages near $1.22. A confirmed daily close below this level would suggest weakening buyer conviction. Resistance barriers are positioned at $1.35 and $1.40.
