XRP experienced sharp price swings on Saturday, though the turbulence was unrelated to exchange traded funds.
While spot XRP ETFs have managed to end their stretch of zero inflow days, overall investor interest remains well below the strong levels seen shortly after launch. Meanwhile, XRP continues its battle with BNB for the fourth position in the cryptocurrency market capitalization rankings and is hovering just below an important resistance level.
XRP ETF Inflows Remain Subdued
Recent weeks have highlighted declining activity surrounding XRP focused exchange traded funds. During the trading week that ended on February 13, net inflows totaled less than 8 million dollars, followed by under 2 million dollars the next week. The funds also recorded three consecutive sessions without any inflows, a trend that lasted through February 23.
Investor participation improved slightly over the following four trading days, although the gains were modest. Net inflows reached 3.04 million dollars on Tuesday, 3.09 million dollars on Wednesday, 1.22 million dollars on Thursday, and 2.21 million dollars on Friday. In total, the week closed with 9.55 million dollars in new capital.
These figures pale in comparison to the enthusiasm seen at launch. After the first XRP centered ETF began trading in mid November, demand surged for that product and four additional offerings that soon followed. Within a month of Canary Capital introducing XRPC, cumulative net inflows climbed to 1 billion dollars.
Since that early surge, momentum has cooled. Total net inflows now stand at 1.24 billion dollars, indicating that only about 240 million dollars has been added over the past two months.
XRP Competes With BNB for Market Position
Saturday brought significant volatility to the broader crypto market following military strikes against Iran and subsequent retaliation. XRP dropped from 1.43 dollars to 1.27 dollars before rebounding to its earlier level after reports emerged that Iran’s Supreme Leader had been killed during the attacks.
Market analyst CryptoWZRD observed that XRP formed a dragonfly doji candle and held above the 1.30 dollar daily support level. According to their assessment, the asset could extend its gains if it secures a weekly close above 1.3820 dollars. At the time of writing, XRP is trading just below that threshold. It has also reclaimed the fourth spot by market capitalization from BNB after briefly surrendering it during Saturday’s volatility.
