- XRP is holding key support despite recent weakness, while strong ETF inflows point to continued demand.
- A break above $1.40 could trigger a stronger recovery.
XRP has spent weeks pulling back from its recent highs, but strong ETF demand is creating an unusual setup. While XRP trades near $1.35, cumulative spot XRP ETF inflows have climbed above $1.67 billion.
The divergence between price and institutional demand could become important if buyers regain control. XRP now sits near a support zone that could determine whether the current decline continues or turns into a larger recovery.
XRP Price Is Holding a Key Support Zone
XRP has fallen from around $1.70 to the $1.35-$1.40 range in recent weeks. The decline has pushed XRP toward the $1.33 area, which has emerged as an important short-term support level.
A sustained break below $1.30 would weaken the recovery setup and could expose XRP to the $1.23-$1.25 region. However, holding above support would give buyers room to challenge resistance near $1.40.
A move above $1.40 would be more significant if trading volume also increases. It would show that buyers are not simply defending the decline but are starting to push XRP into higher price territory.
XRP ETF Inflows Keep Rising
ETF flows are giving the XRP market a different signal from the price chart.
Spot XRP ETFs recorded about $110.49 million in weekly net inflows toward the end of August. Cumulative inflows reached approximately $1.67 billion by August 31, while ETF holdings rose to about 1.1 billion XRP.
August also became the strongest month for XRP ETFs in 2026, with more than $150 million entering the funds. More than $110 million arrived during the final week alone.
This creates an important question for XRP. If institutional demand continues while the price remains near support, how much longer can the price stay disconnected from those inflows?
Whale Activity Could Add Another Catalyst
Whale activity is another factor to watch as XRP trades near critical support.
Recent data showed large holders withdrawing about $335 million worth of XRP from Binance. While exchange outflows do not confirm accumulation, they can reduce the amount of XRP readily available for selling.
The timing is notable because XRP is also seeing strong ETF demand. If whale withdrawals continue alongside institutional inflows, selling pressure could weaken while demand remains firm.
That could give XRP a stronger foundation for a recovery, especially if buyers push the price back above the $1.40 resistance level.
What XRP Needs for a Breakout
XRP has yet to confirm a breakout, with $1.40 acting as key resistance and $1.30 providing important support. A sustained move above $1.40 would strengthen the recovery and bring higher resistance levels into focus. However, a break below $1.30 could signal that sellers are regaining control and put further pressure on XRP.
The key question is whether buyers can turn strong ETF demand into sustained price gains. If they do, XRP could break out of its current consolidation and begin a stronger recovery.
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