"ETF Inflows for 4 Consecutive Months"...XRP, Initiates 21% Rally with Upgrade

▲ XRP/AI-generated image

XRP is attempting a 21% rebound, driven by four consecutive months of ETF fund inflows and the XRP Ledger v3.3.0 upgrade.

According to Benzinga on August 1 (local time), the US XRP ETF saw an inflow of $14.8 million this week. The monthly net inflow increased to $27.29 million. With funds flowing in for four consecutive months, the cumulative net inflow has exceeded $1.5 billion. The total assets under management (AUM) were recorded at $988 million.

Bitwise's XRP ETF had the largest AUM at $315 million. Franklin held $254 million, and Canary Capital held $245 million. 21Shares and Grayscale had AUMs of $115 million and $58 million, respectively. During the same period, Bitcoin (BTC) ETFs and Ethereum (ETH) ETFs received $172 million and $365 million, respectively.

Investors' attention was also drawn to the XRP Ledger v3.3.0 upgrade. The new version introduces multipurpose tokens that enhance the privacy of tokenized assets using zero-knowledge proofs. It also adds features for batch transactions to process multiple transactions at once, fee and reserve delegation, authorization delegation, and dynamic multipurpose token functionality. Benzinga evaluated that the upgrade could expand the utility of the XRP Ledger in tokenization, institutional finance, payments, and DeFi sectors.

In terms of technical trends, $1.0577 was presented as a key support level. XRP has repeatedly not fallen below this level since June, indicating a weakening of downward pressure. The Relative Strength Index (RSI) also formed an ascending trendline, raising its lows, showing a bullish divergence between price and indicator. Benzinga analyzed that if the rebound continues, the June 15 high of $1.29 would be the next resistance level. This target price represents approximately a 21% increase from the time of writing the article.

Variables that could limit the upward outlook remain. The possibility of delays in the processing of the US cryptocurrency market structure bill and concerns about interest rate hikes by the Federal Reserve (Fed) could pressure XRP investor sentiment. While ETF fund inflows and the v3.3.0 upgrade are positive catalysts, defending the $1.0577 support level and breaking through the $1.29 resistance level are key criteria to confirm a trend reversal.

[Article Summary]

-XRP ETFs have seen continuous inflows for 4 months, with cumulative net inflows exceeding $1.5 billion.

-XRP Ledger v3.3.0 introduces enhanced privacy for tokenized assets, batch transactions, and fee delegation features.

-Analysis suggests that if XRP maintains the $1.0577 support level, it could rebound by approximately 21% to $1.29.

*Disclaimer: This article is for investment reference only, and we are not responsible for any investment losses based on it. The content should be interpreted for informational purposes only.*