Why did XRP drop even after the XRP trading fund failed to trade?
The ( ETF trading fund for the currency ), affiliated with Canary Cap, experienced strong demand during its early trading days. However, the price of #XRP has decreased by nearly 11% since the launch of the fund, as whale sales and overall market pressure limited the impact of institutional demand.
This disparity between the flows of the exchange-traded fund and the performance of the XRP price raises questions about how quickly institutional capital can impact the cryptocurrency markets, especially during periods of volatility.
The XRP exchange-traded fund breaks records, but the price of the token lags behind.
BeIn Crypto reported that Canary Capital launched the XRP spot trading fund #Ripple (#XRPC on the Nasdaq last week. The fund saw approximately $59 million in trading volume on its first day, marking the strongest launch among over 900 fund launches in 2025.
The fund brought in $245 million in flows on its first trading day. During the following two sessions, cumulative flows rose to over $268 million.
Despite these inflows, the price of XRP has decreased by about 11% since November 13. Data revealed that the altcoin was trading at $2.14 at the time of publication, down 5.22% over the past day.
Performance of XRP price.
Glassnode noted that only 58.5% of the XRP supply is currently profitable. This represents the lowest reading since November 2024, when the token price was around $0.53.
"Today, despite trading at ~4 times the highest )2.15 Dollar(, 41.5% of the supply )~26.5 billion XRP( is facing losses — a clear sign of a heavy top market and structurally fragile dominated by late buyers," the post added.
This disparity reveals a significant separation between the strong inflows of the exchange-traded fund and the performance of the underlying asset price — raising the question of why such a disparity has emerged.
Okay, XRP whales have significantly contributed to the recent price drop. Reports indicate that the whales sold about 200 million XRP within 48 hours of the ETF launch.
This large-scale sale is affecting the ETF, intensifying negative sentiment. The timing of whale sales indicates profit-taking, as large holders may have seen the launch of the ETF as an opportunity to exit.
Moreover, the weakness in the broader market has put additional pressure on the price of XRP. Over the past 41 days, the cryptocurrency sector has lost a total of $1.1 trillion in market value, representing an average daily decline of about $27 billion.
"For those who are crying about the price movement, do me a favor and look at ), that’s why the price is bad right now," noted the analyst.
At the same time, an expert also confirmed that liquidity from institutional investment often takes time to have a significant impact on prices. According to him, the delay between exchange-traded fund flows and the price may continue.
He added that the noticeable effects may not appear until 2026, contrary to the expectations of individual traders.
It is worth noting that technical indicators suggest that XRP's recent struggles may be nearing an end. The Net Unrealized Profit and Loss (NUPL) for XRP dropped to 0.32 on November 16, its lowest level in a year. This may indicate a potential bottom for the market.
"The sentiment has now returned to the fear/uncertainty zone, which previously formed key bottoms," said STEPH IS CRYPTO.
BeIn,,Crypto highlighted that the last time NUPL reached an annual low — 0.43 on April 8 — XRP rose from $1.80 to $3.54 by July 22, representing a 96% increase.
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