XRP News Today: Losing Streak Extends, Eyes on ETF Floodgates and Key Catalysts

XRP Extends Losing Streak Ahead of Key Price Catalysts

XRP extended its losing streak to four sessions as investors continued to lock in profits from last week’s rise to a high of $3.1394. Bitcoin (BTC) dropped below the crucial $115,000 level, weighing on sentiment.

Pro-crypto lawyer Bill Morgan commented on the recent price action, stating:

“All I see is the entire market moving down, with bitcoin with the same heavy correlation we usually see.”

Despite the pullback and BTC’s influence on XRP, tailwinds are gathering for the token, potentially supporting a rebound. The approval of Cboe, Nasdaq, and NYSE’s Generic Listing Standards (GLS) for commodity-based trust shares was a crucial step in unlocking mainstream demand for XRP. Approval allows issuers to list crypto-spot ETFs under the GLS framework without SEC review.

Nate Geraci, president at NovaDius Wealth Management, shared a chart from Matt Hougan, Chief Investment Officer at Bitwise Asset Management. The chart showed the surge in ETF issuances after the SEC passed the ETF rule in 2019.

The Bitwise CIO suggested that approval of the GLS for crypto ETFs could trigger a similar expansion of the ETF market. Nate Geraci echoed Hougan’s view, stating:

“So what happens from here… Crypto ETF floodgates are about to open. Expect an absolute deluge of new filings & launches. You may not like it, but crypto is going mainstream via the ETF wrapper. And ETFs will serve as the perfect bridge b/w tradfi & defi.”

Why Do Traders Need to Focus on ETF Developments?

The US ETF market’s total net assets topped $10 trillion at the end of 2024, with 3,637 ETFs in existence as of December 31, 2024, dwarfing the crypto market’s total market cap of $3.93 trillion.

According to VettaFi, BlackRock (BLK) is the largest US ETF issuer, with $3.69 trillion in assets under management (AUM). Vanguard ($3.61 trillion AUM) and State Street ($1.69 trillion AUM) made up the top three.

While Vanguard dismisses crypto-spot ETFs, BlackRock has captured the bulk of BTC- and ETH-spot ETF inflows. iShares Bitcoin Trust and iShares Ethereum Trust have reported total net inflows of $60.64 billion and $13.4 billion, respectively, since launch. For context, Fidelity’s BTC-spot and ETH-spot ETFs rank #2 in their respective markets, with net inflows of $12.67 billion and $2.9 billion, respectively.

Given BlackRock’s dominance in spot-crypto ETFs, any iShares XRP Trust filing would carry outsized significance. The GLS approval, influenced by BlackRock’s May meeting with the SEC Crypto Task Force, could incentivize the issuer to pursue an XRP-spot ETF.

Traders could crucially take an iShares XRP Trust filing as a stamp of approval, raising expectations of strong institutional demand.

Price Action & Technical Analysis: Breakdown to $2.8 or Breakout to $3.2

XRP slipped 0.09% on Sunday, September 21, following the previous day’s 0.5% loss, closing at $2.9747. Despite extending its losing streak, XRP’s smaller decline meant it outperformed the broader market (-0.55%) and hovered near the key $3 level. Traders are watching the following technical levels:

• Support: $2.8 and $2.5.
• Resistance: $3, $3.2, $3.335, and the all-time high at $3.66.

In the near term, several key price catalysts could drive price action:

• ETF flow trends.
• Spot ETFs: Approval or delays of XRP-spot ETFs and BlackRock’s plans for an iShares XRP Trust filing.
• Blue-chip companies’ views on XRP as a treasury reserve asset.
• Regulatory milestones: Ripple’s US-chartered bank license application, the Market Structure Bill, and SWIFT news may further influence demand.

Catalysts & Scenarios

The balance of inflows, regulatory progress, and institutional adoption will determine whether XRP tests lower supports or breaks higher resistance.

Bearish Scenario

• BITW, GDLC, and XRPR report weak demand, and BlackRock downplays plans for an iShares XRP Trust filing.
• SEC declines XRP-spot ETF applications.
• Legislative roadblocks or setbacks to crypto-friendly regulations.
• Blue-chip companies avoid XRP as a treasury reserve asset.
• OCC delays or rejects Ripple’s US-chartered bank license.
• SWIFT maintains global dominance, capping Ripple’s market access.

These bearish events could push XRP toward $2.8, exposing $2.5, the next key support level.

Bullish Scenario

• BITW, GDLC, and XRPR report strong inflows.
• BlackRock files for an iShares XRP Trust, and the SEC approves XRP-spot ETFs.
• Blue-chip companies adopt XRP as a treasury reserve asset, and more payment platforms integrate Ripple technology.
• Ripple secures a US-chartered bank license, and the Senate passes the Market Structure Bill.
• SWIFT loses market share of global remittances to Ripple.

These events could send XRP above $3, bringing $3.2 into play. A sustained move through $3.2 could pave the way to $3.335. A break above $3.335 would open the door to testing the record high of $3.66 (Binance).

Conclusion: Will BlackRock, ETF Flows, and Legislation Lift XRP?

Spot ETF approvals and the Market Structure Bill could drive the token to new highs. However, regulatory setbacks and delays to spot ETF launches may push prices back toward key support levels.

Analysts will closely monitor how regulatory and economic risks affect XRP’s trajectory in the coming weeks.