XRP has slipped 1.7% over the past 24 hours to trade near $1.39, as a wave of long liquidations and a sharp reduction in open interest weigh on the token. The pullback comes even as US spot XRP exchange-traded funds continue to attract fresh capital, though at a slower pace than in prior weeks.
According to CoinGecko, XRP was changing hands around $1.39 on Sept. 8, down 0.7% over the past seven days and 8.9% over the past two weeks. The token has given back much of its Sept. 4 surge toward $1.48, with sellers repeatedly pushing the price back below the $1.40 handle.
Leverage unwinds as open interest drops
Data from CryptoQuant shows XRP open interest fell 14% from $558 million to $478 million, while the estimated leverage ratio declined from 0.203 to 0.182. Roughly $14.2 million in XRP positions were liquidated across two sessions, with the second session accounting for $8.23 million in long liquidations. The funding rate turned negative at -0.002 after 14 consecutive positive sessions, signaling a shift in sentiment among leveraged traders.
The broader crypto market also traded lower on the day. Bitcoin slipped 1.06% to around $79,300 after briefly touching $78,680, while Ethereum dropped 0.71% to about $2,495. Solana lost 1.91%, and XRP was down 1.20% at the time of writing. Coinglass data shows roughly $179 million in total liquidations over the past 24 hours, with long positions accounting for $126 million.
ETF inflows remain positive but slow
Despite the price weakness, demand for US spot XRP ETFs has stayed positive. SoSoValue data indicates net inflows of $18.96 million during the Aug. 31 to Sept. 4 trading week, a significant slowdown from the previous week's $110.49 million. Franklin Templeton's XRPZ led with $9.82 million in inflows, while Canary Capital's XRPC attracted $7.74 million. Bitwise's XRP fund saw $3.32 million in net outflows. Cumulative net inflows across all US spot XRP ETFs remain at $1.68 billion, with combined net assets of $1.48 billion.
The slower pace of inflows suggests that institutional interest, while steady, is not enough to offset profit-taking following XRP's August rally. The token climbed from near $1 at the start of August to around $1.70 before traders began locking in gains.
Technical levels to watch
On the daily chart, XRP is trading above its 20-day, 50-day, 100-day, and 200-day exponential moving averages. The 20-day EMA sits near $1.35, while the 200-day EMA is also around $1.35. A daily close below this converging support zone would remove a level that has held since early September. Below that, support lies at $1.33 and $1.28. On the upside, reclaiming $1.40 to $1.41 would be the first step for buyers, with a move through $1.43 opening the path toward the $1.48 to $1.50 area.
The Money Flow Index has dropped to 27.81 from above 80 following the early September price jump, indicating that buying pressure has weakened considerably. On the 4-hour chart, XRP is trading near the 50% Fibonacci retracement of its recent move from roughly $1.33 to $1.43, with the midpoint around $1.38. The 61.8% retracement sits at $1.37, followed by the 78.6% level near $1.35. A break below these levels could expose the previous swing low around $1.33, with the 1.618 Fibonacci extension pointing to a lower target near $1.27.
Chaikin Money Flow on the 4-hour chart stands at -0.12, having dropped below zero, indicating that trading volume has been weighted toward lower closes. This suggests sellers are in control of the latest move.
For context, the broader market has seen similar pressure, with Solana holding above $76 despite ETF inflows, and equities showing resilience on strong earnings. Traders are now watching upcoming US inflation figures and the Federal Reserve's September policy decision for directional cues.
This article is for informational purposes only and does not constitute financial advice.
