XRP Price Eyes Breakout as ETF Inflows Jump Ahead of XRPL v3.3.0 Upgrade

XRP (CRYPTO: XRP) has traded within a tight range over the past two months, but that period of consolidation may be nearing an end as exchange-traded fund (ETF) inflows accelerate ahead of the v3.3.0 upgrade. The Ripple-linked token was trading at $1.0575, just above its year-to-date low of $1.00.

XRP ETF Inflows Rise Ahead of v3.3.0 Upgrade

SoSoValue data shows that American investors continued their ETF accumulation this week. They accumulated over $14.8 million in assets this week, bringing the monthly inflows to $27.29 million. These funds have had inflows for four consecutive months, bringing the cumulative total to over $1.5 billion. They now hold $988 million in assets under management.

Bitwise’s XRP ETF has over $315 million in assets, while Franklin, Canary, 21Shares, and Grayscale funds hold $254 million, $245 million, $115 million, and $58 million in assets, respectively.

These inflows coincided with those of Bitcoin (CRYPTO: BTC) and Ethereum (CRYPTO: ETH) funds, which added $172 million and $365 million, respectively.

It also happened as investors waited for the upcoming v3.3.0 upgrade of the XRP Ledger network. This upgrade is a major milestone for the platform as it will position it as a major player in key industries like tokenization, institutional finance, payments, and decentralized finance.

It will achieve that by introducing confidential multi-purpose tokens (MPT) that will bring privacy for tokenized assets using zero-knowledge proofs. Additionally, the version will introduce batch transactions, sponsored fees and reserves, permission delegation, and dynamic MPTs. Crypto prices tend to do well ahead of major upgrades. 

Still, XRP faces some major challenges, including the potential delay of the CLARITY Act and the potential for Federal Reserve hikes.

XRP Price Technicals Suggest Bottoming is Happening

The daily chart shows that the Ripple token is showing some bottoming signs. It has failed to move below the important support level of $1.0577 several times since June this year. Such a bottom is a sign that bears are hesitant to placing trades below that level.

The coin has also formed a bullish divergence pattern as the Relative Strength Index has formed an ascending trendline. Therefore, if this happens, the token will likely rebound to the next key resistance level of $1.2900, its highest level on June 15, which is about 21% above the current level.

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