Will XRP ETF Inflows Be Enough to Reverse XRP’s Price Downtrend?

Even as XRP ETF products continue attracting strong investor capital, the price of XRP has struggled to break its recent downward trajectory. According to recent market data, the token has been under persistent selling pressure — trading lower by about 7 % in 2025 — despite spot XRP ETF offerings drawing in over $1.13 billion in net assets under management.

Spot XRP ETF inflows have been a standout feature of recent crypto markets, with US-based XRP ETF products avoiding net outflows since their introduction and showing resilient demand overall. Canary Capital’s spot XRP ETF remains a leader in cumulative contributions, followed by inflows into funds from Bitwise and Grayscale.

However, strong ETF demand has not yet translated into a sustained price recovery. On-chain data suggests that active trading and usage on the XRP Ledger have decreased alongside broader market sell-offs. The contrast between large institutional appetite for ETF exposure and retail trader sentiment underscores a divergence between capital flows and price performance.

In practical terms, an XRP ETF can act as a structural catalyst for long-term mainstream adoption by lowering barriers for regulated investment vehicles and expanding institutional engagement. ETFs offer a familiar format for traditional investors — letting them buy shares that aim to reflect XRP’s underlying market price without needing to manage wallets or private keys.

Yet, regulatory clarity and market behavior remain key factors shaping the next phase for XRP. While spot ETF inflows are notable, they float atop wider macro conditions and broader crypto sentiment, which continue to influence price momentum. The interplay between ETF capital accumulation and price direction highlights both newfound institutional interest and ongoing headwinds in the broader crypto landscape.

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