XRP Investor Sentiment Switches to Positive Despite Market Drop

• Ripple’s XRP concluded last week with inflows of $300,000, according to CoinShares‘ most recent report on money movements in cryptocurrency-focused investment products.
• The value of XRP peaked in 2021 at $3.84, but it has since fallen to $0.3938.
• Last week, the outflows from digital asset investment products totaled US$32m, the largest since late December 2022.

Ripple Investor Sentiment Around XRP Switched to Positive

XRP Price Performance

The value of Ripple (XRP) peaked in 2021 at $3.84 but has since dropped back to where it was prior to the January market highs and is currently priced at $0.3938. Despite the drop in price, there were still inflows of $300,000 into XRP-focused products according to CoinShares‘ latest report on money movements in cryptocurrency-focused investment products – marking a positive sentiment for the first time this year.

SEC Lawsuit Against Ripple

In 2020, the US Securities and Exchange Commission (SEC) sued Ripple alleging that it had distributed over a billion dollars worth of unregistered securities using its XRP cryptocurrency – an allegation that Ripple denies as they assert that XRP does not qualify as a security based on their interpretation of the Howey Test theory.

Outflows Improved Midway Through Last Week

Digital asset investment product saw outflows totaling US$32m last week which is the largest since late December 2022; however mid way through last week these outflows reduced considerably by 50% after reaching peak levels when Bitcoin was up more than 10%. This indicates an improvement in investor sentiment around digital assets during this period despite prices remaining low across many cryptocurrencies including XRP.