With Q1 2026 coming to a close this week, XRP is set to record its worst first-quarter performance since 2018 after posting a double-digit loss.
Although XRP achieved a major regulatory milestone earlier this year, the asset has still struggled to maintain upward momentum. After briefly climbing above $2 in January, XRP steadily declined throughout the quarter as institutional demand cooled and macroeconomic pressures weighed on the crypto market.
Key Points
- XRP is about to record its worst Q1 performance since 2018, with the asset already down 26.5% with just a few hours to close the quarter.
- Despite starting the year on a good note and reaching $2.42, XRP has posted steady declines this quarter.
- Investments in XRP ETFs weakened this month as investors withdrew millions of dollars from the products.
- Analysts remain divided on XRP’s outlook, with some expecting a major dip below $1 to end the bearish trend.
Strong Start Quickly Fades
Like many cryptocurrencies, XRP began 2026 on a positive note after a challenging previous year. The token opened the year at around $1.84 and quickly rallied to $2.42 on January 6, 2026.
This early surge revived investor optimism that XRP could be heading into a strong bullish cycle. However, the rally did not last as increasing macroeconomic pressure triggered a multi-month decline, pushing the asset back below $2.
According to data from CryptoRank, XRP is set to close Q1 2026 with a decline of about 26.5%.
Worst First Quarter Since 2018
This performance marks XRP’s weakest first quarter since 2018, the year the token reached its all-time high. For perspective, XRP ended Q1 2018 with a massive 77% loss after investors rushed to take profits following its surge to a record $3.84.
The following years delivered mixed results. XRP recorded losses of 12.8% and 6.9% in Q1 2019 and Q1 2020, respectively. It reversed the trend in 2021 with a sharp 161% rally but slipped again in Q1 2022 with a 2.14% decline.
From 2023 through 2025, XRP posted modest gains of 58.8%, 2.37%, and 0.45%, respectively. However, the current Q1 2026 decline of about 26.5% now represents its steepest quarterly drop since 2018.
Institutional Sentiment Wanes
Meanwhile, institutional sentiment weakened toward the end of the quarter. The launch of spot XRP exchange-traded funds (ETFs) in late 2025 initially attracted more than $1.3 billion in inflows.
However, March brought several periods of withdrawals from those investment products. Investors pulled roughly $35 million from the funds between March 6 and March 9. Additional outflows occurred later in the month, including around $6 million withdrawn on March 12.
As a result, cumulative inflows into XRP ETFs now stand at approximately $1.21 billion, while total net assets have declined to about $933 million.
Positive Milestones Despite Price Drop
Despite the price decline, XRP achieved several notable milestones this quarter. Notably, the U.S. SEC confirmed that XRP is not a security and explicitly classified it as a digital commodity.
Similarly, Ripple continued expanding its ecosystem by integrating blockchain solutions into a broader financial infrastructure stack, potentially attracting more attention to XRP.
Meanwhile, the network behind the asset, the XRP Ledger, reached a new milestone this month by surpassing 7.7 million non-empty addresses.
Analysts Split on XRP Next Move
Despite the current downturn, some analysts remain optimistic about XRP’s outlook. For instance, Cameron Scrubs of Tradeship University believes XRP could reach a new all-time high between April and May 2026. However, he noted that the asset must first break above the key $1.70 resistance level.
On the other hand, some market observers remain cautious. Crypto analyst Casi suggested that XRP could fall further, potentially dropping to the $0.87–$1.09 range before a sustained recovery begins.
For now, XRP’s near-term direction remains uncertain, and analysts continue to urge caution as the market navigates ongoing volatility.