XRP News Today: XRP Surges Past $3 on $31.3M Institutional Inflow as Bitcoin Sees Outflows

XRP has surged above $3, driven by a $31.3 million institutional inflow into XRP-linked products over the week ending August 4, according to data from CoinShares [1]. This marks a sharp turnaround for the asset, as it outperformed Bitcoin, which experienced a $404 million outflow for the second consecutive week—the first net outflow for crypto funds in 15 weeks [1]. The inflow into XRP brings year-to-date institutional demand to $753 million, underscoring growing institutional interest in the asset [1].

The price movement has been supported by technical indicators, with XRP rebounding from the Fibonacci golden zone, a level historically associated with bullish reversals [1]. Analyst Egrag Crypto suggested that a closing price above $3.12 could indicate the end of bearish momentum, with potential short-term price targets at $3.03, $3.13, and $3.30 [1]. However, recent trading volume has declined by 25% in the past 24 hours, raising questions about the sustainability of the rally [1].

Meanwhile, the broader crypto market remains fragmented in terms of institutional demand. While XRP attracted a large inflow, Ethereum continued its 15-week streak of positive inflows with $133 million added. In contrast, Solana saw a sharp decline in inflows, dropping from $311.5 million the previous week [1]. This highlights the uneven distribution of capital flows across the digital asset landscape.

Investor sentiment is also being influenced by the ongoing Ripple vs. SEC legal case, with an expected update due by August 15 [1]. Additionally, expectations for a potential spot XRP ETF are fueling bullish sentiment among some market participants [1]. Ripple's leadership, including CEO Brad Garlinghouse, has not publicly commented on the $3 price level. However, the price surge has led to increased commentary from analysts and market observers, many of whom speculate on potential rapid price movements in the near term.

Analyst Ali Martinez has raised caution, warning that a breakdown below $2.48 could signal deeper concerns, with $2.80 currently serving as a temporary support level [1]. The MVRV ratio also suggests the potential formation of a “death cross,” indicating the need for close monitoring in the event bearish conditions intensify [1].

XRP's recent surge has also shifted market sentiment somewhat away from Bitcoin, with XRP-based DeFi protocols seeing modest growth. The price movement reflects renewed optimism around Ripple's legal clarity and product expansion, although regulatory uncertainty and macroeconomic factors remain key risks [1].

Overall, the $3 level represents a pivotal milestone for XRP, supported by strong inflows and positive technical setups. However, the market remains sensitive to regulatory outcomes, macroeconomic developments, and broader investor risk appetite, all of which could shape the asset’s trajectory in the coming weeks.

Sources:

[1] Title: XRP Price Hits $3 as Ripple Outpaces BTC with $31M Inflow, What to Expect?

URL: https://coinmarketcap.com/community/articles/6890db4e0123344c94ed51cb/