XRP Is Still Up 31% in August After Losing 5% in a Week
XRP surged to its best monthly performance in over a year, then gave back a chunk of those gains in just seven days. With 48 hours left in August, two forces are now battling over whether the coin holds its…
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XRP (CRYPTO:XRP) posted a 5% decline over the last seven days, dropping from $1.43 to $1.39. However, despite the recent decline, the coin has gained 31% in August, marking its best monthly performance since July 2025, when it reached a cycle high of $3.65.
The recent pullback has erased some of its gains, but XRP remains on track for a strong close. With two days left in August, will the recent decline hold XRP back, or can it close out the month near its highs?
Why XRP Lost 5% Over the Last Week
XRP’s 5% decline over the last week came from several factors that affected its bullish momentum. These factors have helped sellers dominate the market over the last seven days.
Profit-Taking Among Holders
XRP rallied to $1.66 on August 22, its best performance in seven months, giving holders running at a loss an opportunity to break even.
During past rallies, XRP struggled to stay above $1.50 because of the sell wall around the $1.44-$1.45 zone. The recent rally showed that sellers are also active around $1.65-$1.70, and that selling pressure pushed the coin back toward $1.44.
XRP traded between $1.43 and $1.50 for a while, but failed to hold above $1.50 as Binance’s net taker volume reached its strongest selling level of 2026, with sell-side volume reaching $96 million on August 27, per CryptoQuant analyst Darkfost. That selling wave pushed XRP below the pivotal $1.40 support, leaving the token around $1.39 today.
Hawkish Fed Expectations
Fed Chair Kevin Warsh’s comments at his first Jackson Hole keynote on August 28 triggered a broader market downturn, and XRP wasn’t spared from it. Warsh said the Fed’s main focus remains bringing inflation back to its 2% target, noting that PCE inflation, a measure of consumer price changes, was still at 3.7%. He added that the Fed still had work to do to bring inflation down.
Traders viewed Warsh’s comments as hawkish and quickly adjusted their expectations for a September rate cut. XRP fell to $1.36 following the news, while about $488 million in leveraged positions were liquidated across the market within 24 hours, including more than $360 million in long positions.
Two Factors That Could Help XRP Sustain Above $1.39
These two factors could improve buying pressure and help XRP sustain above $1.39.
ETF Demand
ETF demand has been one of XRP’s major drivers in August. Monthly inflows have reached $153.54 million in August, marking XRP ETFs’ best monthly performance since December 2025. Cumulative inflows now stand at $1.66 billion after the funds recorded three straight weeks without a single outflow day.
Those inflows have reduced the amount of XRP available on the open market and helped the coin hold roughly 31% of its gains from its recent rally. If inflows continue to rise and reach $200 million in August, the additional demand could absorb some selling pressure around current levels and improve XRP’s chances of defending the $1.37-$1.39 support range.
Bitcoin Needs to Hold Its Breakout
When Bitcoin reached $80,000 on August 25, XRP traded around $1.47-$1.53, reflecting its historically strong correlation with Bitcoin, which has ranged from 0.64 to 0.84. But Bitcoin soon fell to $77,000, and XRP followed the broader market decline, falling below $1.40.
Bitcoin currently trades around $78,000, while XRP holds around $1.39. Bitcoin needs to hold that level for XRP to defend its support. If Bitcoin holds that breakout and the wider market settles down, XRP could regain momentum and improve its chances of holding its August gains.
Can XRP Hold Its August Gains With Two Days Left?
XRP has posted a 31% gain with two days left in August, but the recent downturn has reduced its margin for error. XRP trades around $1.39 after losing the $1.43 and $1.40 support levels, which now act as its immediate resistance.
If XRP reclaims these levels over the next 48 hours, it would suggest that the recent decline was profit-taking from holders looking to break even rather than the start of a fresh sell-off.
However, if XRP fails to reclaim $1.43, it will likely trade between $1.37 and $1.39 through August 31. A decline toward $1.30 is also possible if it loses the $1.37 support. But at $1.30, XRP would still close August with a double-digit gain, just far below the $1.66 high XRP reached between August 19 to August 22.
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Sam Daodu is a crypto analyst and the editor of 24/7 Wall St.'s Crypto Desk, where he covers Bitcoin, XRP, Ethereum, Solana and the altcoins investors search for most. His work focuses on price levels, spot ETF flows, on-chain data and the regulatory decisions that move crypto markets, written so a first-time buyer and a seasoned trader can both use it.
Sam has written about crypto professionally since 2019 and has published more than 2,000 articles. Before joining 24/7 Wall St., he wrote for crypto media outlets and Web3 companies and ghostwrote for crypto founders and token launches. His analysis is syndicated on Yahoo Finance, MSN and AOL and has been cited by other crypto news sites. He also founded MacLabs Marketing, a content and personal branding agency for crypto founders and executives.
When he isn't reading charts, Sam is usually at the gym or watching One Piece, a series he maintains has better tokenomics than most altcoins.
