XRP's Price Decline Explained: Five Overlapping Forces at Play

XRP's price has been experiencing a significant decline since its all-time high of $3.65 in July 2025. The token is currently trading at around $1.42, down approximately 61% from its peak. Despite regulatory wins and institutional partnerships, the decline is attributed to several factors.

One of the main reasons for XRP's decline is the macro-driven collapse of Bitcoin. As Bitcoin falls, XRP typically follows suit due to their high correlation. The recent decline in Bitcoin's price has led to a cascade of liquidations across crypto markets, exacerbating XRP's decline.

Another factor contributing to XRP's decline is the slowed inflows into XRP ETFs. While these funds have attracted significant attention and investment, the rate of inflows has slowed dramatically since February 2026. This slower pace of institutional investment has failed to keep up with macro-driven selling and distribution by long-term holders.

The technical picture for XRP is also bearish, with the token breaking below its 200-week exponential moving average near $1.40. The recent loss of the $1.60 support zone has exposed XRP to a clear air pocket all the way to the $1.00 psychological floor.