XRP Plummets as Distribution Phase Kicks In Amid Global Economic Uncertainty

Global economic uncertainty has weighed heavily on XRP's price, causing it to drop as investors seek safer assets. Persistent geopolitical tensions in the Middle East and inflation concerns in the US have pushed risk-averse investors towards low-risk instruments.

The distribution phase for XRP appears to be underway, with on-chain data indicating a decline in investor interest over the past couple of months. Net inflows to exchange-traded funds (ETFs) supporting XRP have also plummeted, falling by 78% in July compared to last month's levels.

This marks the second consecutive month of negative growth in ETF inflows, suggesting that market participants are increasingly disinterested in investing in XRP. The data compiled by SoSoValue highlights a concerning trend for XRP investors as they grapple with the potential implications of this shift.