XRP is facing a turbulent week as its price drops 15% despite growing ETF hype. What’s causing this decline, and can the cryptocurrency recover? Let’s dive into the latest XRP news, market trends, and on-chain data to uncover the truth.
XRP Price Drop: A 15% Decline Despite ETF Optimism
XRP has fallen sharply from $3.66, marking a 15% drop in just days. This decline comes even as speculation about a potential XRP ETF gains traction. Key factors behind the drop include:
- Reduced open interest in futures (down 21% from its peak).
- Low on-chain activity compared to competitors like Avalanche and Sui.
- Unverified rumors about Ripple partnerships causing market instability.
XRP Open Interest Dips 21% – What Does It Mean?
Open interest in XRP futures has decreased from $11.2 billion to $8.8 billion, signaling cautious trader behavior. However, it remains 48% higher than last month, indicating lingering interest. Here’s a breakdown:
| Metric | Value |
|---|---|
| Current Open Interest | $8.8B |
| Peak Open Interest (July 18) | $11.2B |
| Change | -21% |
XRP Ledger’s On-Chain Activity Lags Behind Competitors
The XRP Ledger shows weak adoption in DeFi and tokenized assets, raising concerns about long-term growth. Comparisons with other networks:
- Avalanche: $190M in tokenized assets.
- Sui: $13.3B in 30-day DEX volume.
- XRP Ledger: Only $134M in tokenized assets.
XRP ETF Hype: Can It Save the Falling Price?
While Ether ETFs have surged past $18B in assets, XRP’s ETF prospects remain uncertain. Analysts warn that without stronger on-chain utility, ETF speculation alone may not sustain a rally.
Conclusion: Should Traders Stay Bullish on XRP?
XRP’s price drop reflects market caution despite ETF optimism. Traders should monitor on-chain metrics and credible news over rumors. Without stronger adoption, XRP may struggle to hold above $3.
FAQs
1. Why did XRP drop 15% recently?
XRP’s decline is linked to reduced open interest, low on-chain activity, and unverified market rumors.
2. Is an XRP ETF likely?
Speculation exists, but regulatory hurdles and weak adoption metrics could delay approval.
3. How does XRP’s on-chain activity compare to competitors?
XRP lags behind Avalanche and Sui in tokenized assets and DEX volume.
4. Should I buy XRP now?
Traders should assess network growth and ETF developments before making decisions.
