Ripple to unlock 1 billion XRP as price slips below $1

Ripple unlocks 1 billion XRP on September 1 from escrow on the XRP Ledger, with the token at $0.99, down 0.3% in 24 hours.

According to escrow schedule data on the XRP Ledger, Ripple has locked 55 billion XRP into time-based contracts since late 2017, releasing up to 1 billion at the start of each month. The company typically re-locks 600 million to 800 million XRP into new escrow contracts, leaving a net supply increase of 200 million to 400 million XRP.

At current prices near $1, the net monthly supply addition is worth approximately $200 million to $400 million, a figure that remains small relative to XRP's daily trading volume, which frequently exceeds $1 billion across major exchanges. The predictable nature of these monthly releases has historically limited their impact on price action, though escrow unlocks have occasionally triggered short-term volatility.

The unlock comes as XRP trades below its 50-day simple moving average of $1.07 and its 200-day SMA of $1.28, indicating both short-term momentum and the broader long-term trend remain under pressure. The 14-day Relative Strength Index stands at 37.83, close to the oversold threshold of 30, suggesting selling pressure has been significant but not yet extreme.

Ripple uses the released tokens to support operations including On-Demand Liquidity services, institutional partnerships, and ecosystem growth initiatives. The XRP Ledger has also seen increased utility, with XRP powering 2 million AI-agent payments on the network and serving as the native bridge asset for decentralized exchange trade routing, appearing in 0.16% of DEX trades over the past 72 hours.

The September 1 unlock arrives after months of weakness for XRP, which has slipped below the psychologically important $1 level. The token is down more than 1% on the weekly timeframe, and the gap between the current price and the 200-day SMA of $1.28 highlights the extent of the drawdown from recent highs. The escrow release is one of the most closely watched events in the XRP ecosystem, with traders monitoring whether Ripple re-locks the majority of the tokens as it has done historically.

A further decline could push XRP into oversold conditions, while a rebound in RSI above 50 would signal improving momentum. Traders and institutions have long factored the monthly releases into their expectations, and XRP has often stabilized once the amount returned to escrow is confirmed. The key question for the market is whether the September unlock coincides with broader crypto weakness or arrives as the token finds support near current levels.

This article is for informational purposes only and does not constitute investment advice.