Key Points
- XRP trades near $1.06, with $1.00 acting as critical yearly support.
- Weak ETF inflows and CLARITY Act delay weigh on bullish outlook.
Ethereum entered August 2026 with XRP priced around $1.06, marking a decline of roughly 43% from its January peak of $2.41.
The $1.00 level remains the only support consistently defended by buyers throughout the year.
Weekly momentum indicators have retreated to levels last observed during the 2022 bear market, when XRP traded near $0.29, according to 247 Wall St.
Current price action raises questions about whether the bullish narrative built on ETFs, regulatory progress, and institutional demand can hold under present conditions.
Technical Structure and Resistance Levels
XRP trades below its 50-day simple moving average near $1.21 and its 200-day average near $1.37, forming what technical analysts describe as a death cross.
This configuration typically signals sustained selling pressure unless supported by a strong catalyst.
The 14-day Relative Strength Index stands between 38 and 41, based on analysis from the Bitcoin Foundation, indicating weakening momentum without entering deeply oversold territory.
Since late June, price movement has largely been confined between $1.00 and $1.18, with rallies repeatedly capped near the $1.18–$1.20 resistance band.
A move above $1.20 would expose the next notable resistance around $1.45, which analysts suggest could meaningfully strengthen the broader technical outlook if reclaimed.
ETF Flows and Regulatory Developments
Institutional inflows into spot XRP ETFs slowed considerably in July, with 11 trading days recording zero net flows.
Total monthly inflows reached $27.29 million, compared with $666 million during the products’ launch month in November 2025, according to SoSoValue.
The slowdown in ETF demand has reduced a source of buying pressure that previously supported prices above $1.20.
On the regulatory front, the Senate deferred consideration of the CLARITY Act on July 27 before entering recess, as reported by 247 Wall St.
The bill, which would classify XRP as a commodity under federal law, cannot proceed to a vote until lawmakers return, postponing a potential catalyst.
Meanwhile, around 60% of XRP’s circulating supply is estimated to be held at a loss, with an average cost basis near $1.48.
Exchange balances have declined to approximately 1.6 billion tokens, the lowest level in seven years, according to CryptoQuant data cited by 247 Wall St.
Market participants are monitoring whether demand strengthens before the $1.00 support level faces renewed pressure.
