The supply of Ripple USD (RLUSD) increased by more than 30% within a month, surpassing a market cap of $2 billion. During the same period, Tether (USDT) fell by 0.4%, while RLUSD is acting as a new source of liquidity as XRP (XRP) tests a recent breakout range.
Key points
RLUSD supply surged by more than 30% over the past month, while USDT decreased by 0.4%.
The XRP Ledger’s RLUSD size exceeds $95 million, accounting for more than 90% of the stablecoin supply on the network.
After surging more than 53% in a week, XRP then retraced by about 6%, while on Bitfinex, long positions worth over $1.18 billion were liquidated.
RLUSD supply surge backdrop
RLUSD’s market cap continued its upward momentum, surpassing the $2 billion mark. According to DeFiLlama data, RLUSD ranked among the top in terms of capital inflows across multiple timeframes, showing the most noticeable growth among stablecoins. The increase over the past month outpaced the performance of all the other top 11 stablecoins combined.
On the XRP ledger, the RLUSD supply currently exceeds $95 million, accounting for more than 90% of all stablecoin volume on the network. Even over just the last 7 days, it grew by more than 8%, continuing the upward trend.
As liquidity concentrates on a particular asset like this, the XRP ledger has secured a thicker, more “stable liquidity pool.” Meanwhile, in the Ethereum (ETH) ecosystem, RLUSD accounts for only about 0.7% of stablecoin supply.
The expansion in liquidity also aligns with XRP’s relative strength. The XRP/ETH ratio rose by more than 17% just over the past week, recording its best weekly performance since the start of the first-quarter 2025 cycle.
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XRP’s liquidity under the microscope
XRP surged more than 53% on a weekly basis and broke above the $1.50 resistance zone, but then retraced by about 6% entering this week, with leverage positions quickly getting unwound. During the correction, resistance around $1.50 was checked again, and on Bitfinex, XRP long positions totaling more than $1.18 billion were liquidated.
With the expansion of RLUSD supply and the reduction in leverage occurring in tandem, there are assessments that a larger liquidity buffer within the XRP ledger will be able to absorb sell pressure after a breakout.
If the RLUSD supply continues to grow on the same trajectory, it could support the logic behind XRP’s $1.50 retest. However, based on current data alone, it’s difficult to conclude that the resistance will be broken and firmly established again.
The XRP/ETH ratio kicked off this week lower, and it remains unclear whether the recent pullback will be only a short pause or the beginning of a bigger trend reversal. Since the 17% rise in the prior week followed XRP’s 53% breakout rally, future moves are expected to be a test of whether the expansion of RLUSD liquidity can continue even after profit-taking and leverage unwind.
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