XRP Price Drops 15%: ETF Launch Day
The price of XRP slid 15% over the last week, with a further 1.1% decline in the past 24 hours, now trading around $2.12 as of 3:45 a.m. EST. Trading volume surged 29%, reaching $6.05 billion. This decline coincides with the much-anticipated launch of the Bitwise XRP ETF Bitwise XRP ETF, which began trading today on the New York Stock Exchange under the ticker “XRP”.[4][8]
ETF Launch Details
- The ETF charges a management fee of 0.34%, which is waived for the first $500 million in assets for the first month. [2]
- Investors receive spot exposure to XRP Bitcoin, unlike crypto funds that track futures. [2]
- Coinbase Coinbase Global, Inc. acts as the ETF’s custodian. [2]
Market Reaction and Outlook
Despite the excitement, the ETF launch was not enough to counteract bearish pressures. Analyst commentary points to significant whale selling—approximately 200 million XRP were offloaded within 48 hours of the ETF’s debut, deepening the price slump. Experts see the $1.91 and $1.73 levels as crucial support, with many predicting the impact of new institutional flows may only become evident next year.[1][3][8]
While the Bitwise announcement was met with optimism, highlighting the end of a challenging regulatory period for XRP, the price remains highly volatile.
“For years, XRP's real-world potential was stunted by an extremely hostile regulatory environment. But now, with that obstacle removed—and buoyed by a passionate investor base—we believe we will finally get to see what XRP’s technology can really do.”[2]
Competition Heats Up
Grayscale Grayscale Bitcoin Trust and Franklin Templeton Franklin Resources, Inc. have signaled upcoming launches of their own XRP funds, intensifying competition. The variety of new ETFs is hoped to stabilize the token’s price, though current sentiment remains cautious.[6]
Author's Summary
Despite the Bitwise XRP ETF launch drawing significant attention, immediate positive price effects have not materialized, as sellers dominate and key support levels come into focus for XRP.[8][1]