XRP has gained more than 3% in the last 24 hours as the cryptocurrency market consolidates after a late-August rally. The recovery comes despite a challenging macroeconomic backdrop, with market-implied odds of a September interest-rate hike now around 60%. Tighter financial conditions could pressure risk assets, but sentiment remains positive: the Crypto Fear and Greed Index sits at 73, firmly in "Greed" territory.
On-chain data and the daily chart suggest a larger move may be brewing. However, bulls must first overcome resistance at $1.50 to confirm the continuation of the prior uptrend. A decisive break above this level could open the door to a 48% advance, according to technical projections.
XRP ETF inflows start September at $13 million
Exchange-traded funds tracking XRP attracted roughly $13 million in net inflows during the first few days of September, averaging about $3.3 million per trading day. If that pace holds, monthly inflows could reach $60–70 million, though that would represent a decline of more than 50% from August, suggesting institutional demand may be cooling.
It's still early in the month, and daily flows can be volatile, especially around major macro events. The Federal Reserve's September 16 rate decision and comments from Chair Kevin Warsh could significantly influence demand. A less hawkish tone might boost risk appetite and accelerate inflows, while signals of higher-for-longer rates could dampen interest in XRP and other cryptos.
The Fear and Greed Index's reading of 73 indicates investors remain optimistic despite rate concerns. Greed readings typically reflect strong risk appetite and a willingness to hold bullish positions, which could support XRP if the broader market resumes its advance. However, elevated optimism also raises the risk of profit-taking if the Fed delivers a more restrictive message than expected.
On-chain activity shows a bullish crossover
Active addresses on the XRP Ledger spiked in late August before gradually declining as trading volumes normalized. The pullback suggests the surge was temporary, but it produced a crossover where the 7-day moving average of active addresses moved above the 30-day average. Historically, such crossovers have preceded significant price movements.
The signal is not inherently bullish or bearish—it indicates that activity is changing rapidly enough to potentially lead to increased volatility. The previous crossover in August 2026 saw XRP initially decline before a strong rally later in the month. Since the latest crossover emerged after a major upward move, it could support a continuation scenario, though traders should wait for price confirmation.
Bullish flag pattern targets $2.10
XRP has formed a bullish flag pattern on the daily chart, which typically appears when an asset consolidates downward after a sharp rally. The initial surge creates the flagpole, and the subsequent declining channel forms the flag. This pattern is unconfirmed while XRP trades below its upper boundary, which coincides with the $1.50 resistance level.
A breakout above $1.50 with strong volume would activate the bullish setup, with the first major target around $1.80, in line with the previous projection. Based on the flagpole's length, the full technical target sits near $2.10, representing roughly 48% upside from current levels. However, this is a potential objective, not a guarantee, and XRP must first clear $1.50 and then $1.80.
Trading volume will be crucial in evaluating any breakout. A move above $1.50 accompanied by rising volume would carry more conviction than a brief intraday spike. For investors holding XRP, the key is to watch for a sustained close above resistance.
As the market awaits the Fed's decision, XRP's near-term performance will depend on whether positive crypto momentum can outweigh pressure from rising rate expectations. The broader crypto market has shown resilience, with Ethereum facing similar resistance and Chainlink breaking out recently.
This article is for informational purposes only and does not constitute financial advice.
