XRP holds $1.06 as ETF inflows slump and CLARITY Act stalls

XRP entered August 2026 at $1.06, down 43% from the January high of $2.41. The $1.00 level remains the only defended demand zone year-to-date. Weekly momentum has fallen to levels last seen in the 2022 bear market when XRP traded near $0.29.

XRP Technical Setup

XRP trades below its 50-day SMA near $1.21 and 200-day SMA near $1.37, forming a death cross that signals persistent selling pressure without a catalyst. The 14-day RSI stands near 38–41, indicating weakening conditions that are not yet deeply oversold.

Soruce: XRPUSD / Tradingview

Since late June, price has ranged between $1.00 and $1.18, with rallies rejected at the $1.18–$1.20 band and repeated failures at the descending channel’s upper boundary. A reclaim of $1.45 would improve the longer-term technical picture.

Flows and Regulation

Spot XRP ETFs recorded zero flows on 11 of July’s 22 trading days and drew $27.29 million for the month, down from $666 million in November 2025. This decline removed the institutional bid that had supported expectations for price to hold above $1.20.

The Senate deferred the CLARITY Act on July 27 until after recess. The bill would classify XRP as a commodity under federal law. The delay removes a near-term regulatory catalyst for August.

Sentiment and On-Chain

Roughly 60% of circulating XRP is held at a loss, with an average cost basis near $1.48, a profile consistent with late-stage capitulation. Exchange balances have fallen to about 1.6 billion XRP, a seven-year low and roughly half the 3.76 billion recorded in October 2025. Sellers appear exhausted, but buyer participation remains insufficient as price tests the $1.00 floor.