XRP Falls 8.5% to $1.46 as Spot Selling Overpowers $18M ETF Inflows

XRP experienced a sharp decline on Tuesday, falling 8.5% to $1.46, even as regulated investment vehicles attracted fresh capital. The drop highlights a growing tension in the digital asset market: while ETF inflows signal institutional interest, heavy spot selling can quickly erase those gains.

ETF Inflows Fail to Halt the Slide

According to market data, XRP-focused exchange-traded funds recorded $18.04 million in net inflows during the session. That figure would typically support price stability or modest upside, but the broader spot market told a different story. Traders aggressively sold the token across major exchanges, driving the price down to $1.46.

Spot Volume Overwhelms Regulated Demand

The spot market saw $4.576 billion in trading volume, a massive wave of activity that dwarfed the ETF inflows. This disparity illustrates how quickly large-scale selling can absorb institutional buying. When spot volume surges on the sell side, even positive ETF flows struggle to provide a floor.

What This Means for XRP Traders

The session serves as a reminder that ETF demand is not a guaranteed price catalyst. While regulated products offer a convenient entry point for institutional investors, they represent only a fraction of total market activity. For XRP, the battle between ETF accumulation and spot distribution remains the key dynamic to watch. Market participants will likely monitor whether ETF inflows persist and whether spot selling pressure eases in the coming days.

Broader Market Context

XRP’s decline comes amid a broader period of volatility in the cryptocurrency market, where major assets have seen similar swings. The token’s ability to hold above $1.40 will be critical for short-term sentiment. A sustained break below that level could invite further selling, while a rebound above $1.50 might restore confidence.

In summary, XRP’s 8.5% drop to $1.46 despite $18.04 million in ETF inflows underscores the power of spot market forces. The $4.576 billion in spot volume overwhelmed regulated fund demand, leaving the token under pressure. Investors will continue to weigh ETF flows against the relentless tide of spot trading.