{"id":6989,"date":"2025-04-19T06:00:25","date_gmt":"2025-04-19T06:00:25","guid":{"rendered":"https:\/\/coinsrise.net\/blog\/despite-an-18-drop-xrps-exchange-supply-hits-lows-bullish-setup-ahead\/"},"modified":"2025-04-19T06:00:25","modified_gmt":"2025-04-19T06:00:25","slug":"despite-an-18-drop-xrps-exchange-supply-hits-lows-bullish-setup-ahead","status":"publish","type":"post","link":"https:\/\/coinsrise.net\/blog\/despite-an-18-drop-xrps-exchange-supply-hits-lows-bullish-setup-ahead\/","title":{"rendered":"Despite an 18% Drop, XRP\u2019s Exchange Supply Hits Lows\u2014Bullish Setup Ahead?"},"content":{"rendered":"

XRP has been trading under pressure in recent weeks, losing much of the momentum it built during its late 2024 to early 2025 rally. After reaching highs above $3.40, the asset has experienced an 18.3% decline over the past month, reflecting broader market softness.<\/p>\n

At the time of writing, XRP trades significantly below its peak at a price of $2.06, with subdued investor activity and falling market participation across both spot and derivatives markets.<\/p>\n

XRP On-Chain Activity Slows, But Price Remains Relatively Stable<\/h2>\n

Amid XRP’s decline, a CryptoQuant analyst known as EgyHash has recently shared his analysis<\/a> on the altcoin in a post titled, “XRP\u2019s Market Paradox: With Ledger Activity Dipping 80%, Is a Rebound on the Horizon?”<\/p>\n

According to EgyHash, XRP\u2019s on-chain and futures market data presents a mixed picture\u2014declining activity but resilience in price. EgyHash noted that XRP Ledger activity has fallen sharply since December, with the percentage of active addresses down by 80%.<\/p>\n

Similar declines have been observed in the futures market, where open interest has dropped roughly 70% from its highs, and funding rates have occasionally turned negative.<\/p>\n

\"XRP<\/p>\n

He added that the Estimated Leverage Ratio, which gauges average user leverage by comparing open interest to coin reserves, has also dropped significantly.<\/p>\n

Despite these indicators pointing to weakening momentum, the altcoin’s price has only declined about 35% from its peak. This is a milder correction compared to other assets such as Ethereum, which has fallen roughly 60% over the same period.<\/p>\n

Additionally, the altcoin’s Exchange Reserve has continued to decline, reaching levels last observed in July 2023. Lower reserves typically suggest that fewer tokens are available for immediate sale, a factor that can help support prices during market downturns.<\/p>\n

\"XRP<\/p>\n

According to EgyHash, this trend, along with relatively stable pricing, could indicate growing long-term confidence in the asset.<\/p>\n

Institutional Developments Could Strengthen Market Sentiment<\/h2>\n

While on-chain metrics remain a focus, institutional developments may also play a role in shaping XRP\u2019s future trajectory. Hong Kong-based investment firm HashKey Capital recently announced<\/a> the launch of the HashKey XRP Tracker Fund\u2014the first XRP-focused investment vehicle in Asia.<\/p>\n

Backed by Ripple as the anchor investor, the fund is expected to transition into an exchange-traded fund (ETF) in the future. The initiative is designed to attract more institutional capital into the XRP ecosystem.<\/p>\n

\n

HashKey Capital is launching Asia\u2019s first XRP Tracker Fund\u2014with @Ripple<\/a> as an early investor.<\/p>\n

This marks a major step in expanding institutional access to XRP, the third-largest token by market cap. \"\ud83e\uddf5\"\"\ud83d\udc47\"<\/p>\n

\u2014 HashKey Capital (@HashKey_Capital) April 18, 2025<\/a><\/p>\n<\/blockquote>\n

HashKey Capital has also indicated that this collaboration with Ripple could lead to further projects, including tokenized investment products and decentralized finance (DeFi) solutions.<\/p>\n

Vivien Wong, a partner at HashKey, emphasized the strategic value of integrating Ripple\u2019s network with regulated investment infrastructure across Asia.<\/p>\n

Although the altcoin faces near-term pressure, long-term developments, including decreasing exchange reserves and rising institutional interest, may support its recovery as the broader market stabilizes.<\/p>\n

\"XRP<\/p>\n

Featured image created with DALL-E, Chart from TradingView<\/p>\n","protected":false},"excerpt":{"rendered":"

XRP has been trading under pressure in recent weeks, losing much of the momentum it built during its late 2024 to early 2025 rally. After reaching highs above $3.40, the asset has experienced an 18.3% decline over the past month, reflecting broader market softness. At the time of writing, XRP trades significantly below its peak…<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[4],"tags":[62,14,15,16,23,1561,32],"class_list":["post-6989","post","type-post","status-publish","format-standard","hentry","category-xrp","tag-altcoin","tag-crypto","tag-crypto-market","tag-cryptoquant","tag-xrp","tag-xrp-analysis","tag-xrpusdt"],"_links":{"self":[{"href":"https:\/\/coinsrise.net\/blog\/wp-json\/wp\/v2\/posts\/6989","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/coinsrise.net\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/coinsrise.net\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/coinsrise.net\/blog\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/coinsrise.net\/blog\/wp-json\/wp\/v2\/comments?post=6989"}],"version-history":[{"count":0,"href":"https:\/\/coinsrise.net\/blog\/wp-json\/wp\/v2\/posts\/6989\/revisions"}],"wp:attachment":[{"href":"https:\/\/coinsrise.net\/blog\/wp-json\/wp\/v2\/media?parent=6989"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/coinsrise.net\/blog\/wp-json\/wp\/v2\/categories?post=6989"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/coinsrise.net\/blog\/wp-json\/wp\/v2\/tags?post=6989"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}