- XRP hit a new all-time high of $3.65 in July but has since corrected over 14% in a month, though still up 425% since Aug 2024.
- The rally was fueled by the SEC lawsuit resolution and low CPI data but cooled after higher-than-expected PPI figures spurred liquidations.
- Pending XRP ETFs could trigger significant institutional inflows, making the current dip a possible buying opportunity for long-term investors.
Ripple’s XRP has been on quite the ride this past month. On July 18, the token finally broke past its old records, hitting a fresh all-time high of $3.65 after more than seven years. But since then, the momentum has cooled off, with XRP sliding 4.7% in the last 24 hours, nearly 9% over the past week, and more than 14% across the last month. Even so, when zooming out, XRP is still up an incredible 425% since August 2024, according to CoinGecko data. While the pullback has stung traders, it could also be presenting a window for new investors to enter at discounted levels.
Why the Rally Stalled
XRP’s surge earlier this summer was fueled by two big developments: the SEC finally ending its long-running lawsuit against Ripple, and a wave of bullish sentiment across crypto markets after July’s Consumer Price Index (CPI) came in lower than expected. Optimism about a potential September rate cut sent risk assets flying, and XRP was a prime beneficiary. But the rally hit turbulence on August 14, when Producer Price Index (PPI) data came in hotter than forecasts—0.9% versus the expected 0.2%. That spooked markets, raised doubts about Fed rate cuts, and triggered widespread liquidations that dragged XRP down with it.
Is This the Right Time to Buy the Dip?
History shows that buying dips in strong assets often pays off, and many analysts still see upside for XRP. The token’s fundamentals have shifted since the lawsuit ended, with regulatory uncertainty lifting and investor confidence slowly rebuilding. In addition, market watchers are eyeing a slate of pending XRP ETF applications at the SEC. If even one of these gets the green light, institutional inflows could provide the next leg up, potentially pushing XRP beyond its previous highs.
Long-Term Outlook
Despite short-term headwinds, the long-term case for XRP remains strong. With regulatory clarity improving, ETF approvals likely on the horizon, and Ripple continuing to build partnerships in payments and remittances, the token is well-positioned for growth. For now, the $3.65 peak may look distant, but if institutional money flows in through ETFs, that level could just be the starting line for the next rally.
