Key Highlights
- Trader sentiment for XRP deteriorated to a 3-week low, with the bulls-to-bears ratio sliding to approximately 1.10:1.0 by May 25.
- Investors holding XRP for 30-day periods are currently sitting on average unrealized losses approaching 47%.
- The asset’s 30-day MVRV metric has declined to levels not seen since December 2020, entering what analysts describe as an “extreme opportunity zone.”
- On May 29, U.S. spot XRP exchange-traded funds attracted $11.88 million in net capital.
- Between May 20 and May 29, XRP ETFs accumulated $35 million while bitcoin and ether ETFs experienced combined outflows exceeding $2 billion.
Despite trader anxiety climbing to its highest level in nearly three weeks, XRP has maintained stability around the $1.35 price level. Market intelligence from on-chain metrics and institutional fund flows presents contrasting narratives about the digital asset’s current positioning.
According to metrics tracked by Santiment, the sentiment ratio for XRP deteriorated to roughly 1.10:1.0 on May 25. This decline pushed the cryptocurrency into what market observers identify as the “FUD Zone”—a territory characterized by elevated fear, uncertainty, and doubt across social platforms.
Previous instances of XRP entering this sentiment range have typically preceded upward price movements. The underlying principle suggests that when widespread fear dominates market psychology, selling exhaustion often creates conditions for renewed accumulation.
Notably, the XRP price has avoided any significant technical breakdown despite prevailing negativity. The asset has successfully defended critical support around the $1.34 level.
Market analyst Ali Charts highlighted this technical threshold specifically. “I’m monitoring the lower boundary of the ascending channel at $1.34 as a potential accumulation area for XRP,” Ali Charts stated on X. “A successful hold opens pathways toward $1.37 and $1.40.” This assessment arrived as market participants evaluated whether the ongoing consolidation pattern would resolve to the upside.
Near-Term Holders Face Substantial Unrealized Losses
Data from Santiment reveals that investors with 30-day holding periods are currently underwater by an average of 47%. A significant portion appears to have capitulated at recent local bottoms, surrendering profits accumulated during the late 2024 and early 2025 rally periods.
The 30-day Market Value to Realized Value (MVRV) indicator—which calculates aggregate unrealized profit and loss across market participants—has now dropped below its December 2020 reading. Santiment categorizes this condition as an “extreme opportunity zone,” terminology applied when the metric reaches historically depressed levels that have historically preceded price recoveries.
Santiment also documented a notable exchange flow pattern on X. Thursday witnessed the year’s largest single XRP deposit to trading platforms—exceeding 22.80 million tokens. However, in subsequent days, 25.24 million XRP departed exchanges back to private wallets. The analytics firm observed that this significant exchange deposit coincided precisely with a local price bottom, and that XRP’s market value has appreciated approximately 5% following that apparent capitulation event.
Institutional XRP Products Show Persistent Demand
While sentiment indicators reflect widespread pessimism, capital flows into institutional products tell a markedly different story.
U.S.-registered spot XRP exchange-traded funds captured $11.88 million in net positive flows on May 29. Bitwise’s offering dominated with $7.36 million, trailed by Canary’s XRPC vehicle at $2.38 million and Franklin’s XRPZ product at $2.14 million.
Throughout the May 20–29 timeframe, XRP-focused ETFs accumulated $35 million in aggregate net inflows. During this identical window, bitcoin-based ETFs hemorrhaged $1.70 billion while ethereum products experienced $309 million in redemptions.
Combined net assets across U.S. XRP ETF vehicles currently total approximately $1.12 billion, with lifetime cumulative inflows reaching $1.42 billion.
Bitcoin spot ETFs registered $125.31 million in net outflows on May 29 specifically, extending their withdrawal streak to a tenth consecutive trading session.
A separate development from October 2025 continues to linger without resolution. Bloomberg previously reported that Ripple Labs was orchestrating efforts to secure at least $1 billion through a special purpose acquisition company (SPAC) structure designed to build XRP treasury reserves. CoinDesk has attempted to obtain confirmation from Ripple regarding this initiative, though no official response has been forthcoming.
