The launch of the first U.S. spot XRP ETF marks a watershed moment for institutional adoption, though its immediate impact has been a classic “sell the news” event that is testing investor patience.
ETF Debut: A Milestone Met With Profit-Taking
Canary Capital’s XRP ETF (XRPC) began trading on Nasdaq on November 13, 2025, providing a regulated gateway for investors to gain exposure to XRP without direct custody of the asset. The fund, which holds actual XRP tokens in custody with Gemini Trust Company and BitGo Trust Company, saw substantial initial interest.
However, the landmark event triggered a predictable market reaction. Despite a 7.8% price increase in the week leading up to the launch, XRP fell 3% on launch day and extended its decline in the following 24 hours. This pattern aligned with a “sell the news” dynamic, where anticipation builds and profit-taking follows the event itself. On-chain data revealed that whales had reduced their holdings by 10 million XRP in the days just before the launch, signaling that large holders were distributing tokens into the ETF-fueled excitement.
The Battle for XRP’s Next Direction
The market is now caught between competing forces, leaving XRP compressed within a tight trading range.
On one hand, the ETF launch is a powerful long-term bullish signal. It resulted from a hard-won regulatory battle, utilizing an auto-effective registration process that has created a clear pathway for institutional capital. Furthermore, the utility of the XRP Ledger continues to grow, with the network processing over 2 million transactions daily and its infrastructure being adopted for real-world asset tokenization and cross-border settlements.
On the other hand, short-term technicals and sentiment reveal fragility. The price is currently caught between a crucial support zone at $2.30-$2.40 and a major resistance band at $2.60-$2.70. A decisive and sustained break above $2.54 is needed to signal a potential move toward $2.70 and higher. Conversely, a loss of the $2.30 support could trigger a deeper correction.
A Realistic View on the Road Ahead
For traders and long-term investors, the current setup demands a clear-eyed perspective.
The dramatic $100 price scenario is not a near-term prospect. It would require a fundamental rewriting of XRP’s adoption story, involving massive, sustained institutional inflows and deep global regulatory acceptance over many years.
The more immediate and realistic focus should be on ETF inflow data and technical levels. A cluster of seven additional spot XRP ETFs from major firms like Franklin Templeton and Bitwise are poised to launch soon, which could compound inflows. If these collective funds attract significant capital, they could provide the momentum for a re-rating of XRP toward more conservative analyst projections in the $8-$10 range for 2025.
In essence, the ETF debut has provided the necessary infrastructure for a long-term bull case, but it is not sufficient on its own. The market must now demonstrate sustained demand through these new regulated channels. For now, the path of least resistance depends on whether buyers can defend key support and capitalize on this new source of institutional liquidity.
