XRP Ledger Upgrade Nears Activation as $7.3 Million ETF Outflow Ends Eight-Week Inflow Run

XRP's blockchain nears v3.2.0 activation with 89% node support, but spot ETFs saw $7.29M in daily outflows on July 8, the largest since March, despite $1.48B in cumulative inflows.

XRP’s blockchain is approaching a critical software milestone even as its exchange-traded funds suffer their sharpest single-day capital withdrawal in months. The network’s v3.2.0 upgrade has cleared the validator adoption threshold, with 89% of nodes now running the latest version — well above the 80% required for activation. Yet that technical progress stands in stark contrast to institutional flows, which flipped negative on July 8.

That day saw $7.29 million drained from XRP spot ETFs, the largest daily outflow since March 2026. The entire sum was attributed to the Bitwise XRP ETF, according to data from SoSoValue. Tuesday’s redemption snapped an impressive streak: XRP funds had posted net inflows for eight consecutive weeks, including roughly $23 million in the final week of June alone.

Despite the reversal, the broader accumulation picture remains robust. Cumulative net inflows across all authorized XRP ETFs stand at approximately $1.48 billion, with Bitwise’s product accounting for nearly $494 million of that total. The sector’s net assets under management currently sit at $983 million. The January-style plunge that rattled the market earlier this year has not materialized.

Away from the ETF arena, the XRP Ledger’s real-world asset tokenization business continues to expand rapidly. Tokenized assets on the network have reached a value of around $4 billion, spread across more than 500 financial products — nearly four times the size of the entire XRP ETF market. That volume places XRP among the four largest tokenization networks globally, alongside Ethereum and BNB Chain.

The price of XRP, however, tells a less optimistic story. The token changed hands at $1.11 on Friday, eking out a 1.28% daily gain but remaining down 41% year-to-date and roughly 54% over the past twelve months. It sits just 9% above its 52-week low of $1.01, touched on June 26. The relative strength index stands at 47, a neutral reading, while the price lingers below the 50-day moving average of $1.18.

Derivatives data point to cautious sentiment among traders. The long-short ratio for XRP has dipped to 0.96 on CoinGlass, indicating slightly more bearish than bullish bets. Open interest across the market shrank from $2.58 billion on July 5 to $2.33 billion by July 9, though retail demand for perpetual futures held steady at roughly 2.14 billion XRP.

A brief burst of optimism came earlier this week when SWIFT announced a blockchain-based payment pilot involving 17 banks, some with ties to Ripple. XRP gained around 1.6% on the news, but the move has not altered the broader downtrend. The network’s technical upgrade now enters a decisive phase: the fixCleanup3_2_0 amendment requires a formal on-chain vote by trusted validators, and Ripple has already cast its ballot in favor. Once the amendment secures the necessary majority, a two-week support window will follow before v3.2.0 is fully locked in.

The contrast between on-chain growth and market price is stark. Tokenization and network upgrades are building long-term utility, yet ETF outflows and a persistent price slump near yearly lows suggest that institutional conviction remains fragmented in the short term.