Key Takeaways XRP ETFs drew $14.38 million September 1. Ripple returned 700 million XRP to escrow. XRP set a post-peak […]
The post XRP Price Slips Toward $1.32 Even as ETFs Add $14M appeared first on Coindoo.
Key Takeaways
- XRP ETFs drew $14.38 million September 1.
- Ripple returned 700 million XRP to escrow.
- XRP set a post-peak low near $1.32.
- The descending channel remains intact for now.
ETF buyers arrived, but price did not follow
US spot XRP ETFs recorded $14.38 million in net inflows on September 1, according to SoSoValue. Franklin’s XRPZ led the session with $6.63 million, followed by $4.72 million for Grayscale’s GXRP.
Cumulative net inflows reached approximately $1.68 billion, while the products’ combined net assets stood at $1.44 billion after the session. The regulated funds therefore continued attracting capital during XRP’s correction.
XRP did not rise alongside the reported inflows, showing that ETF demand had not yet translated into a broader price recovery. The token had gained nearly 70% during its August advance, giving recent buyers a substantial profit cushion and creating one plausible source of selling.
XRP was not declining in isolation. Its pullback extended a wider crypto-market retreat that began on September 1 as higher Treasury yields and renewed concerns about the yen weighed on risk assets. Coindoo’s report on the two macro risks facing the crypto market explains why several large cryptocurrencies moved lower together. That wider pressure makes it difficult to attribute XRP’s decline to events like Ripple’s escrow activity alone.
Ripple’s 1 billion XRP unlock was not a sell order
Ripple’s scheduled September escrow release consisted of three transactions containing 500 million, 400 million and 100 million XRP. Later that day, a report citing XRPL transaction data showed the company creating new escrows for 500 million and 200 million tokens, returning 700 million XRP to time-locked accounts.
The sequence left 300 million XRP outside the newly created escrows. That amount became available to Ripple, but no cited transaction shows the entire balance moving to an exchange or entering public-market circulation.
Ripple’s explanation of the escrow system describes the monthly 1 billion XRP release as an upper limit on possible new supply rather than the amount automatically entering circulation. Tokens that remain unused can be placed into new escrows with later release dates.
The $14.38 million ETF inflow also cannot be measured directly against the roughly $405 million nominal value of the 300 million XRP remaining outside escrow at a price of $1.35. The ETF figure represents capital that entered the funds during one trading day. The larger number represents company-controlled inventory that has not been shown entering the public market.
XRP returns to the base of its August range
XRP has worked its way lower inside a daily descending channel since its August rally failed near $1.70. Selling volume has remained well below the levels recorded during the advance, so the pullback still lacks the force of a high-volume breakdown.
The failed breakout discussed in our August 29 analysis has since developed into a steady sequence of lower highs. XRP fell to $1.3265 on September 2 before recovering toward $1.35, marking its lowest price since the August peak. The wick stopped above the channel’s lower trendline, leaving the wider pattern intact.
A daily close below $1.32 would break the base of the measured Fibonacci range and expose the 200-day simple moving average near $1.27. That would deepen the correction, although XRP would remain technically inside its wider descending channel until price also closed beneath the lower trendline.
Buyers face the channel’s upper boundary in the mid-$1.30s. Moving above it would weaken the recent sequence of lower highs, while $1.40-$1.41 provides the first horizontal resistance. A later recovery through $1.47 would return XRP to the middle of its August range.
What would confirm the ETF signal
ETF inflows would carry more weight if XRP escaped the channel and recovered $1.41 with stronger trading volume. That combination would show that regulated fund demand was being reinforced by buyers across the wider market, rather than merely offsetting part of the existing selling pressure.
If inflows continued while XRP closed below $1.32, the opposite conclusion would apply: ETF demand would remain too small to stabilize the broader market.
Price still has to confirm the demand
September’s data do not support blaming Ripple’s escrow release alone for XRP’s decline. Most of the unlocked tokens returned to escrow, ETFs continued attracting capital and the wider crypto market also moved lower.
Those factors weaken a simple supply-driven explanation, but they do not establish that the correction has ended. Until XRP breaks its descending channel, positive ETF flows remain supporting evidence rather than confirmation of a recovery.
Disclaimer: This article is for informational purposes only and does not constitute financial or investment advice.
The post XRP Price Slips Toward $1.32 Even as ETFs Add $14M appeared first on Coindoo.
Source: https://coindoo.com/xrp-price-slips-even-etfs-add/
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Disclaimer: This article is for informational purposes only and does not constitute financial advice. Always conduct your own research (DYOR).
