XRP Slides to $2.08 as Grayscale’s GXRP ETF Debut Fails to Ignite Market

Core Insights - Grayscale has launched the Grayscale XRP Trust ETF (GXRP) on NYSE Arca, providing investors with direct exposure to XRP, which was previously available as a private placement since September 2024 [2][3] - The launch of GXRP is seen as a significant step in expanding access to the XRP ecosystem, catering to both institutional and retail investors [3] - Despite the ETF expansion, XRP's price has declined, indicating that traders are focusing more on technical factors rather than the fundamentals of the ETF launch [6][7] ETF Market Context - GXRP joins a growing list of XRP-based ETFs, including those from Canary Capital and REX Shares, with more issuers seeking automatic approval under Section 8(a) [4] - The increasing interest in XRP ETFs reflects a strong institutional demand for regulated exposure to XRP, which remains the fourth-largest cryptocurrency by market capitalization [4] Regulatory Background - XRP's ETF growth occurs against a backdrop of regulatory challenges, including a previous SEC accusation against Ripple for raising $1.3 billion through unregistered sales [5] - A 2023 federal ruling provided some clarity, stating that Ripple's programmatic sales did not violate securities laws, which has facilitated broader institutional acceptance [5] Price Action Analysis - XRP's price fell from $2.13 to $2.08, with trading activity showing a volatile range between $2.03 and $2.15, driven by profit-taking and weak spot flows [6][8] - Trading volume surged by 28% above average, reaching 177.9 million during the selloff, indicating heightened market activity [8] - The price faced resistance at $2.14–$2.15, and late-session selling broke the $2.10 support level, turning it into resistance [8]