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XRP (XRP) posted modest gains after SWIFT unveiled a new blockchain payments pilot involving 17 global financial institutions, including several banks with existing ties to Ripple.
The announcement fueled optimism that blockchain technology is gaining further acceptance within the traditional banking sector, helping XRP climb around 1.6% to trade near $1.09.
However, while the news boosted market sentiment, analysts remain divided over whether the initiative will translate into meaningful demand for XRP. At the same time, institutional investors continue to reduce exposure, and technical indicators suggest the cryptocurrency still faces significant resistance before confirming a sustained recovery.
SWIFT announced that it has launched a pilot program to evaluate how distributed ledger technology (DLT) could improve cross-border payments among participating financial institutions.
Among the 17 banks involved are Standard Chartered and UBS, both of which have established relationships with Ripple. Standard Chartered has partnered with Ripple on digital asset custody services, while UBS has explored tokenized assets and blockchain-based financial infrastructure that interacts with the XRP Ledger ecosystem.
SWIFT and 17 major banks are preparing to test blockchain technology to make international money transfers faster and available 24/7 using tokenized deposits. pic.twitter.com/bFqnEpCiKz
— Real World Asset Watchlist (@RWAwatchlist_) July 9, 2026
The pilot also follows Ripple Treasury’s admission into the SWIFT Certified Partner Program in April 2026, strengthening collaboration between Ripple and the world’s largest financial messaging network.
The announcement immediately sparked speculation that closer ties between SWIFT and Ripple-linked institutions could eventually benefit XRP adoption. However, several market observers urged caution.
Some analysts noted that the pilot appears to focus on tokenized bank deposits rather than using XRP as a bridge asset for settlement. If the project relies on tokenized deposits moving across blockchain infrastructure instead of XRP, the initiative may have a limited direct impact on long-term demand for the cryptocurrency despite Ripple’s growing relationship with SWIFT.
While retail sentiment improved following SWIFT’s announcement, institutional positioning tells a different story.
According to SoSoValue, spot XRP exchange-traded funds (ETFs) recorded net outflows of $7.29 million on July 8, marking the largest single-day withdrawal since March 2026. The outflows interrupted a period of relatively stable institutional demand and suggest some investors remain cautious despite the recent rebound.
Derivatives markets also continue to favor a defensive outlook.
CoinGlass data shows XRP’s long-to-short ratio has slipped to 0.96, indicating bearish positions slightly outnumber bullish bets. Meanwhile, open interest declined from $2.58 billion on July 5 to $2.33 billion by July 9, pointing to traders reducing exposure rather than opening new speculative positions.
The divergence between improving news flow and weakening institutional participation highlights the uncertainty surrounding XRP’s short-term outlook. While investors welcomed the banking headlines, professional traders appear reluctant to increase risk until stronger confirmation emerges.
From a technical perspective, XRP remains in a fragile recovery despite holding above the psychologically important $1 support level.
On the four-hour chart, the token continues trading below the Supertrend indicator while struggling to break above the 78.6% Fibonacci retracement level around $1.094. Additional resistance sits near $1.114 and $1.127, where the 61.8% and 50% Fibonacci retracement levels converge.
On the daily time frame, momentum indicators paint a similarly mixed picture. Although the moving average convergence/divergence (MACD) remains in positive territory, its histogram has begun to weaken, suggesting bullish momentum is fading. At the same time, the Chaikin Money Flow has only recently turned slightly positive, indicating capital inflows remain limited rather than reflecting aggressive accumulation.
Despite the cautious technical setup, buyers continue defending the $1.00-$1.06 support zone. That concentration of holders has helped prevent deeper losses during recent market weakness.
For bulls, the next major objective remains the $1.20-$1.25 resistance range. A decisive breakout above those levels would weaken the year-long downtrend and potentially shift momentum back in favor of buyers. Until then, XRP is likely to remain caught between encouraging fundamental developments, such as SWIFT’s blockchain initiative, and a market structure that continues to favor caution among institutional investors.
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