XRP Funds Revived in Spot ETFs…Is the Possibility of Re-breaking $1.50 Increasing?

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As XRP (Ripple) continues its attempts to rebound, holding the $1.35 support level, the influx of spot ETF funds and the increase in open interest are raising expectations for a short-term recovery.

According to Finbold, a cryptocurrency media outlet, on May 20 (local time), XRP rebounded above $1.37 after testing the short-term $1.35 support level. This rebound occurred amidst a correction that followed a retreat from the $1.50 resistance level in mid-May. At the time, market sentiment for risk assets was weakened due to concerns about US inflation and the expansion of geopolitical risks in the Middle East.

Market participants are also paying attention to the US Federal Reserve's (Fed) April Federal Open Market Committee (FOMC) meeting minutes, scheduled to be released today. Amid higher-than-expected US inflation indicators and prolonged US-Iran tensions, the market is looking to confirm whether the Fed will maintain a hawkish stance. Rising international oil and natural gas prices were also cited as market burdens.

Nevertheless, XRP spot ETF fund flows showed a relatively stable trend. According to SoSoValue data, the net inflow into XRP spot ETFs on the 20th amounted to $1.48 million. This is an increase compared to the $0.75 million recorded the previous day. XRP spot ETFs have maintained a net inflow for four consecutive trading days, with cumulative inflows remaining at $1.39 billion. The net asset size was recorded at an average of $1.12 billion.

Fund inflows are also expanding in the derivatives market. According to CoinGlass, XRP futures open interest increased to $2.93 billion as of the 20th. This is an increase compared to the $2.83 billion recorded the previous day. The media analyzed that if the increase in open interest continues, XRP's price could attempt to recover the key resistance level of $1.40.

However, technical indicators do not yet point to a full bullish reversal. XRP is currently trading below its 50-day EMA of $1.41, 100-day EMA of $1.48, and 200-day EMA of $1.69. The RSI is in the early 40s, and the Moving Average Convergence Divergence (MACD) also remains in negative territory. The media predicted that breaking through the $1.40 and $1.41 range would be a critical turning point for the continuation of the short-term rebound.

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