 ▲ XRP ETF/ChatGPT-generated image |
The XRP spot ETF has recorded its fifth daily outflow since launch, coinciding with the recent downturn in the cryptocurrency market. As a result, a wait-and-see sentiment appears to be strengthening among investors.
According to crypto-focused media outlet U.Today on Feb. 19 (local time), U.S.-listed XRP spot ETFs posted a total net outflow of $2.21 million during the Feb. 18 trading session. This marks the fifth daily outflow since the product debuted in November last year. Although the size of this latest outflow was the smallest on record, it is being interpreted as a signal of weakening investor sentiment.
By asset manager, the entire $2.21 million outflow came from Grayscale’s XRP spot ETF, while XRP-related funds managed by other firms saw little to no trading activity. Institutional investors appear to have either withdrawn capital or paused additional inflows amid heightened volatility across the broader digital asset market, including Bitcoin (BTC), reflecting a growing risk-off stance.
Under this outflow pressure, XRP’s price has struggled to gain strength. The token fell 5.28% over the past 24 hours, trading around $1.39. Repeated failures to break above the psychological resistance level of $1.70 have deepened disappointment among investors who had anticipated a move toward a stable position above $2.00. Market observers warn that continued selling pressure could open the door to further downside.
Experts say that renewed capital inflows into XRP spot ETFs will likely depend on a broader recovery in cryptocurrency market sentiment. Key variables influencing XRP’s trajectory currently include the resolution of legal uncertainties involving the Securities and Exchange Commission (SEC), as well as Bitcoin’s price movement in response to macroeconomic indicators.
While the withdrawal of institutional capital may weigh on XRP’s price in the short term, some analysts suggest that upcoming institutional changes—such as the anticipated passage of a U.S. cryptocurrency market structure bill in April—could serve as a new catalyst for inflows. For now, however, institutions appear cautious, adjusting their portfolios amid concerns over further market corrections, suggesting a conservative trend may persist in the near term.
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