XRP has recently shown signs of recovery from its recent lows but remains more than 7% down for the week. This past week marked a challenging period for the broader cryptocurrency market, with prices reaching local lows after Bitcoin failed to break through the $87,000 resistance level, pulling most altcoins down in the process.
A contributing factor to this market-wide downturn was the significant outflows from various cryptocurrency exchange-traded funds (ETFs). Nearly all funds that track crypto assets experienced losses. Notably, the net outflows from the Bitcoin and Ethereum ETFs were substantial, amounting to $681 million and $542 million respectively, while funds monitoring Solana also saw outflows of nearly $25 million.
XRP ETF Defies the Downtrend
While many ETFs faced red numbers, the XRP ETF notably bucked this trend. It not only avoided losses but also managed to post a net inflow of $11.31 million, collecting $3.14 million on October 6 and $8.17 million on October 8. Out of the five trading days, three passed without significant activity, which is less than ideal. Nonetheless, this week’s performance helped maintain a green streak for the XRP ETF, extending it to 13 consecutive weeks. Since its launch in mid-July, this financial instrument has accumulated over $300 million in total.
Bitwise’s XRP ETF stands out as the leader in the market with cumulative net inflows nearing $688 million, followed by Franklin Templeton’s XRPZ at $509 million, and Canary Capital’s XRPC with $487 million.
Challenges Ahead for XRP
Despite the positive demand for XRP ETFs, the price of Ripple’s cross-border token has not been immune to the broader market pressures. Following a brief period of consolidation, XRP was pushed down to $1.32 on Thursday evening, marking its lowest point in three weeks. After this drop, however, it rebounded to approximately $1.40, yet still reflects a 7% decline over the week.
Analysts continue to express a bullish outlook for XRP, despite the possibility of further declines that could see prices dip to as low as $1.20. The current market sentiment suggests that breaking above the $1.60 level will be a key target for XRP moving forward.
