Bitwise Launches XRP ETF Amid Growing Competition
Bitwise is launching its XRP ETF on Thursday, marking a significant development in the market for Ripple-linked assets. The announcement comes as institutions are increasingly investing in XRP, but analysts remain skeptical about a price rally.
“We’re launching the Bitwise XRP ETF,” said Bitwise on X. “It’s a big step forward for XRP, the world’s third-largest crypto asset, which aims to reshape the market for global payments.”
The launch is particularly notable following the success of Canary Capital’s spot XRP ETF, which saw $293 million in investments during the same week. Despite these positive developments, the price of XRP continues to struggle. At the time of reporting, XRP is down more than 40% from its all-time high of $3.65 in July, trading at $2.12.
XRP ETF Surge and Institutional Investment
The XRP ETF boom is gathering momentum, with several heavyweights entering the space. The DTCC’s listing website now features numerous XRP ETFs, including those from major players like Franklin Templeton, 21Shares, ProShares, and CoinShares. Grayscale, another well-known digital asset manager, also announced its plans to join the XRP ETF market.
Why is XRP's Price Still Falling?
Despite the strong ETF launch momentum and substantial inflows, XRP’s price has not followed suit. Analysts suggest that the price drop is not tied to the ETF news but rather reflects broader macroeconomic factors and institutional flows.
“XRP isn’t selling off because of the ETF,” said Max Zurlino of ShoreLabs. “We’re in a cycle where macro conditions and institutional flows drive price, not retail hype around headlines.”
Zurlino further noted that ETF approvals should be seen as a positive sign of market confidence, but they may not immediately translate into price gains.
Conclusion: The launch of the Bitwise XRP ETF highlights growing institutional interest in Ripple, yet broader market conditions and institutional dynamics are likely the key drivers behind XRP’s current price struggles.