XRP returned to the vicinity of US$ 1.42, with a significant cooling after the recent round of rapid increases. The fall was driven largely by the deleveraging of derivatives markets rather than by the full withdrawal of off-the-shelf funds. At the same time, the XRP spot ETF remained net inflow, splitting the short-line movement.
ETF single-day warming
On 26 August, the XRP spot ETF recorded a net inflow of $28.14 million, resulting in the strongest single-day performance in over seven months. The cumulative inflow of related funds is still close to US$ 16.62 billion, indicating that the allocation of agency funds to the XRP has not changed significantly.
- Net one-day inflow was $28.14 million
- Cumulative financial flows close to $1.62 billion
- Highest single-day level in seven months
Multi-head silos are concentrated.
Before turning back, the XRP had risen by almost 70 per cent in two weeks, at one point approaching US$ 1.70. Rapid upswings attract a large amount of leverage and the market space becomes crowded.
When the mood got weaker, the flats quickly widened. The data show that over $20 million in excess of pre-positions were liquidated, with net purchases moving to a negative $96 million and unsalary contracts rising to over $3.4 billion.
$1.40 for short-line support
Currently, US$ 1.40 is considered by the market as an important supporting position for XRP. ETF inflows may also continue to provide support if prices remain above this level and the upper structure remains intact in the near future.
If it falls by $1.40, the adjustment may be further expanded. This is due to the fact that the unsettled contract remains high, indicating that the derivatives have not been fully cleared, short-line fluctuations or remain at a high level.