XRP News Today: XRP ETF Hits $58M Debut as Price Drops 7.8%-Why the Disconnect?

The XRP market is undergoing a transformative phase as the first U.S. spot XRP ETF, launched by Canary Capital, sets a 2025 debut record with $58 million in first-day trading volume. The XRPC fund, which began trading on Nasdaq on November 12, 2025, outperformed the previous benchmark set by Bitwise's Solana ETF, which had recorded $57 million on its launch day. This surge in institutional and retail interest underscores growing confidence in XRP as a regulated investment vehicle, despite a 7.8% price drop for the token to $2.30 in the same period according to reports.

The ETF's success was driven by a combination of factors. Presto Senior Analyst Min Jung highlighted the role of the XRP Army, a dedicated retail investor base, in fueling rapid inflows. This community-driven participation, coupled with the ETF's regulated structure, eased institutional hesitancy, allowing professional investors to access XRP without direct exposure risks. The debut also saw in-kind creations totaling $245 million in net inflows, according to Bloomberg analysts, further validating XRP's appeal in a broader market that has seen a 3.5% decline in overall crypto capitalization according to reports.

While the ETF's volume milestone is historic for altcoins, XRP's price performance has been mixed. The token extended its decline by 2.7% over 24 hours, trading near its 365-day moving average. Analysts attribute this to a "sell the news" reaction, where short-term traders profit from ETF-related volatility. CoinMarketCap noted that XRP broke key technical levels, including the 50-day EMA at $2.38, amid heightened leverage and fear-driven sentiment. However, the asset's year-to-date gain of 230.7% suggests long-term resilience, with some experts forecasting a potential rebound if institutional adoption accelerates.

The regulatory environment has played a critical role in XRP's recent trajectory. The SEC's July 2025 guidance on crypto ETPs cleared the path for multiple XRP ETFs, with 11 now listed on the Depository Trust & Clearing Corporation (DTCC). This includes products from Bitwise, Franklin Templeton, and 21Shares, signaling a shift in institutional confidence. Meanwhile, on-chain data reveals a reduction of 216 million XRP ($556 million) from exchanges ahead of the ETF launch, indicating a bullish shift as investors hold rather than trade. However, whale activity has been mixed, with 10 million XRP ($25 million) liquidated in the two days before the launch.

Looking ahead, market analysts are cautiously optimistic. JPMorgan projected XRP ETFs could attract up to $8 billion in capital flows, while Zach Rector, a finance commentator, suggested a $10–$20 price target by 2027 under conservative and bullish scenarios. These forecasts hinge on sustained ETF inflows and broader adoption in traditional finance. Canary Capital's XRPC ETF has already paved the way for future launches, according to analysts.

The XRP ETF's debut marks a pivotal moment for the cryptocurrency, bridging the gap between institutional infrastructure and retail enthusiasm. While short-term volatility persists, the asset's regulated accessibility and community-driven momentum position it as a key player in the evolving crypto landscape.