Strong first half gives way to broad market correction
XRP began 2026 on a relatively constructive footing as growing optimism surrounding institutional adoption, improving regulatory clarity and expanding use cases for the XRP Ledger supported investor sentiment.
The token outperformed several leading cryptocurrencies during the first quarter, helped by continued growth in tokenised real-world assets, cross-border settlement applications and Ripple’s expanding RLUSD stablecoin ecosystem.
By early May, XRP remained one of the more resilient large-cap digital assets despite increasing volatility elsewhere across cryptocurrency markets.
However, sentiment deteriorated rapidly during the second half of May.
As inflation concerns intensified and expectations for Federal Reserve interest-rate cuts disappeared, investors broadly reduced exposure to higher-risk assets, triggering a sharp correction across cryptocurrencies.
Selling accelerated throughout June as leveraged positions were unwound and institutions adopted a more defensive stance.
By the end of June, XRP had fallen by around 70% from its July 2025 peak before finding support around the psychologically important $1.00 region. The subsequent rebound at the beginning of the second half suggests buyers continue to view this area as attractive value, although confirmation of a more durable recovery will require further technical improvement.
Source: Original Article
