XRP price crashed to a low of $2.5440, down by over 30% from the year-to-date high. Ripple was trading at $2.5485, up sharply from last Friday’s low of $1.7768. This article explores whether XRP is a good investment as the XRPR ETF nears a $100 million milestone.
XRPR ETF growth is accelerating
The recently launched REX-Osprey XRP ETF (XRPR) is firing on all cylinders. It has achieved over $92 million in assets, less than a month after its launch, a sign that there is robust demand from institutional investors.
XRPR ETF has gained assets despite its high expense ratio of 0.75%. In contrast, most spot Bitcoin ETFs have a ratio of less than 0.25%. As such, its continued inflows is a sign that there is substantial demand for the coin from institutional investors.
The Teucrium 2x XRP ETF (XXRP) has also had substantial inflows in the past few months and now has over $355 million in assets under management.
These ETFs mean that the spot XRP ETFs by more mainstream companies like Franklin Templeton, Invesco, and Bitwise will be more popular in Wall Street if the Securities and Exchange Commission (SEC) approves them after the government shutdown ends.
Analysts expect that XRP ETFs will have billions in inflows and assets in the first year of launch. JPMorgan analysts expect the funds will have over $8 billion in inflows in the first year.
American investors have had substantial interest in the crypto industry. Spot Bitcoin ETFs have had over $62.4 billion in inflows since their inception, while Ethereum funds have had over $14.48 billion in inflows. The two have over $130 billion and $28.75 billion in assets under management.
XRP price chart | Source: TradingView
Other catalysts for the Ripple price
The other main catalyst for the XRP price is the ongoing stablecoin growth. Data shows that the Ripple USD (RLUSD) stablecoin has over $839 million in assets, a robust growth for a coin that was launched late last year. RLUSD is widely used, with its daily volume being $105 million.
RLUSD’s success is important because some of the supply is in the XRP Ledger network. It is also notable that after Donald Trump signed the GENIUS Act.
There are other catalysts, including its growing market share in the RWA industry, where its total assets have jumped to $361 million, up by 3.39%. Some of the top RWA assets in the platform are VERT Capital, RLUSD, OpenEden Digital, Archax, Ondo, and Braza Crypto.
XRP price technical analysis
XRP price chart | Source: TradingView
The daily timeframe chart shows that the XRP price has plunged in the past few weeks, moving from a high $3.6650 to $2.53. It has moved below the 50-day and 200-day Exponential Moving Averages (EMA).
The coin has formed a giant hammer candlestick, which is a common bullish reversal pattern. Still, the most likely scenario is where the token resumes the downward trend and move to the support at $2. A move above the resistance point at $2.84, the 200-day moving average will invalidate the bearish view.
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