XRP is struggling to extend its sharp August rally after one of its strongest weekly advances in years, leaving traders focused on whether institutional demand can offset a less favorable macro environment.
The token was trading near $1.39 on Aug. 29, down roughly 2% over 24 hours, after recently testing the $1.45 area. That marks a pullback from the explosive run seen earlier in the week, when XRP gained 43.7% in seven days and led major cryptocurrencies.
The surge was supported by stronger Korean trading activity and a run of positive U.S. ETF flows. Coinpapers coverage of the recent XRP rally showed that U.S. spot XRP ETFs attracted $77.47 million across six consecutive positive sessions through Aug. 25
ETF Buyers Continue to Provide Support
Institutional demand has remained visible even as momentum cooled.
Latest ETF data show spot XRP products holding roughly $1.5 billion in assets, while separate data for Aug. 28 indicated another positive day for the category. The continued inflows suggest investors have not abandoned the trade despite XRPs retreat.
Large financial firms are also building exposure. Goldman Sachs disclosed $86.5 million across five XRP ETFs in its second-quarter filing, adding another institutional element to the market. Coinpaper previously detailed the banks XRP holdings.
Beyond investment products, the underlying network has shown higher usage. Daily active addresses rose about 35% in August, although new-address creation remained comparatively flat, according to recent network data. That distinction matters: more transactions from existing users do not necessarily translate into fresh demand.
For broader context, Coinpapers evergreen XRP guide explains how XRP and the XRP Ledger are designed around fast settlement and cross-border payments.
$1.45 Remains the Immediate Test
Technically, the $1.41-$1.45 region remains the first major hurdle. A sustained break above $1.45 could reopen the path toward $1.55-$1.65, while failure to regain that area would keep XRP vulnerable to another test of $1.36.
Below that, traders are watching roughly $1.28, followed by the broader $1.00–$1.05 support zone.
The macro picture has also become more challenging. Federal Reserve Chair Kevin Warsh‘s Jackson Hole comments pushed Treasury yields and the dollar higher while increasing expectations for another rate increase. Bitcoin subsequently fell below $77,000, illustrating the broader pressure on risk assets; Coinpaper’s latest crypto market update tracks that shift.
That leaves XRP caught between two competing forces: persistent institutional inflows and a macro backdrop that has become less supportive. A move back through $1.45 would strengthen the recovery case, while a loss of $1.36 would suggest the post-rally correction still has room to run.