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XRP’s On-Chain Data Flashes Warning While Sellers Continue to Dominate

XRP continues to display signs of weakening market conditions, as key indicators suggest that sellers remain in control, according to the latest analysis from CryptoQuant.

The data show Open Interest has dropped to $350.6 million, one of its lowest levels in recent months, indicating that traders are closing futures positions and reducing leverage.

Bearish Signals

While lower Open Interest can sometimes ease selling pressure by flushing out leveraged positions, CryptoQuant said it is not the case this time because capital is also leaving the broader market.

The analytics firm also added that the trend is not limited to futures activity but also reflects a lack of meaningful new money entering the asset. The firm stated that traders are exiting positions without being replaced by fresh capital, leaving the market with weaker overall participation.

On-chain data also does not yet point to a stronger recovery. XRP’s NVT Ratio remains elevated at 162.86, suggesting that network activity has not increased enough to justify a higher market valuation.

According to the analysis, the combination of falling Open Interest and a persistently high NVT Ratio paints a consistent picture of weakening market conditions. CryptoQuant said investor risk appetite has declined significantly, and participants appear exhausted. This has left XRP’s price action tilted in favor of sellers.

On the institutional front, US-based spot XRP ETFs recorded $7.3 million in outflows on July 8th, although the funds have generally held up better than their Bitcoin and Ethereum counterparts.

Adoption and Visibility

Despite the weak market outlook, XRP continues to see strong real-world adoption in parts of Asia. Earlier this week, Japan’s SBI VC Trade said companies are increasingly adding XRP alongside Bitcoin to their treasury reserves and shareholder benefit programs. The crypto asset also remains one of the most actively traded cryptocurrencies in South Korea.

Ripple also expanded XRP’s visibility this week by securing the first crypto sponsorship of a major US college athletics program. Under the partnership, the University of Kansas Jayhawks will display the asset’s logo on game jerseys beginning this fall.

Публикацията XRP’s On-Chain Data Flashes Warning While Sellers Continue to Dominate appeared first on CryptoPotato.


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