XRP holds below resistance as futures interest, ETF inflows slowly rebuild

Ripple (XRP) faces sustained selling pressure as bears maintain control on Monday. The remittance token has struggled to break above the $1.10 resistance since last Thursday, as risk sentiment weighs.

XRP sees mild capital inflows

Demand for XRP derivatives has gradually increased since last week, with the perpetual futures Open Interest (OI) averaging 2.4 billion XRP on Monday, up from 2.13 billion XRP the previous day. A broader scope shows OI averaged 2.09 billion XRP on July 7, underscoring steady growth in risk-on sentiment.

Meanwhile, demand for XRP spot Exchange-Traded Funds (ETFs) returned on Thursday, attracting nearly $7 million in inflows last week, according to SoSoValue data. This mild but positive turnaround comes after outflows of approximately $7 million on the week ending July 10.
Still, cumulative inflows edged higher to $1.49 billion, with net assets averaging $991 million. Sustained appetite for US-listed ETFs is needed to absorb the selling pressure in the spot market and support a steady rebound.

“From a macro perspective, the current environment is also creating two opposing forces. Softer U.S. inflation has eased concerns about an extended period of restrictive monetary policy, which is supportive of liquidity-sensitive assets,” Simon-Peter Massabni, Head of Business Development at XS.com.

Price analysis: XRP bears tighten grip

XRP trades at $1.09, retaining a bearish near-term bias as it sits below the 50-day, 100-day and 200-day Exponential Moving Averages (EMAs) clustered at roughly $1.15, $1.24 and $1.45. The Moving Average Convergence Divergence (MACD) histogram remains slightly positive, hinting at modest underlying buying interest, but the Relative Strength Index (RSI) around 46 underscores a lack of strong momentum, leaving price capped beneath this stacked EMA resistance band.

On the topside, immediate resistance emerges at the 50-day EMA near $1.15, with further hurdles at the 100-day EMA around $1.24 and the longer-term 200-day EMA near $1.45, which collectively define a broad overhead supply zone. On the downside, initial support is provided by the Parabolic SAR indicator around $1.06. A daily close below this level would expose the pair to further corrective pressure, while holding above it could allow XRP to consolidate before attempting another test of the EMA barrier.

(The technical analysis of this story was written with the help of an AI tool. Know more.)