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The Ripple-linked XRP token continues its multi-month slide against Bitcoin (BTC), according to the recent market data.
In fact, it is currently on the verge of securing its lowest close against the leading cryptocurrency since the beginning of the year.
The XRP/BTC meltdown
After a brief period of consolidation and a minor relief rally in June, the pair has completely rolled over in early July, breaking down toward multi-month lows.
The pair currently hovers at 0.00001735 BTC. It is precariously near its lowest levels of the year.
XRP has shed 53% of its value over the past year in USD terms, a weakness that is magnified when denominated against a stronger Bitcoin.
There is a clear pattern of lower highs and lower lows, with every attempt at a bullish reversal being eventually sold off by traders.
As reported by U.Today, there is a sudden cooling of institutional appetite in the traditional markets. On July 8, spot XRP exchange-traded funds (ETFs) snapped a period of relative resilience by logging a substantial $7.29 million net outflow.
Intriguingly, the downward price pressure comes amid a tightening supply dynamic on centralized exchanges. According to on-chain analytics provider CryptoQuant, the Binance XRP Scarcity Index recently spiked to approximately 0.77 over a three-day period.
This is the highest level of supply scarcity observed on the world's largest crypto exchange since mid-2024.
Good news fails to boost XRP
As reported by U.Today, Ripple recently finalized a historic five-year sponsorship agreement with the University of Kansas that places the XRP asset in front of millions of mainstream sports fans.
On the institutional plumbing side, European post-trade giant Clearstream officially expanded its regulated custody offering to include XRP.
Unfortunately for XRP holders, the top altcoin is currently struggling to hold its ground despite the aforementioned positive developments.
Dan Burgin
U.Today Editorial Team
