XRP Price Faces 2025 Decline Amid Strong ETF Inflows and Selling Pressure

Ripple's XRP is facing significant selling pressure, with a 7% decline in early 2025 and a six-month downward trend. Despite positive inflows into spot XRP ETFs, the altcoin is experiencing negative returns, mirroring Bitcoin's performance.

XRP Market Trends

  • XRP gained 81% in 2023 and 238% in 2024 due to regulatory clarity and speculation.
  • Current cycle shows high selling activity, leading to decreased investor confidence.
  • Shift in investor behavior as they sell at losses, reflecting uncertainty in XRP's outlook.
  • XRP Ledger activity has declined, with active addresses dropping to a low of 34,005.

Spot XRP ETF Performance

  • US spot XRP ETFs have seen $1.13 billion in net inflows since launch.
  • On Dec. 23 alone, net inflows reached $8.19 million.
  • Franklin Templeton’s XRPZ led recent inflows, while other products had flat flows.
  • Canary Capital's XRPC leads with $384 million in cumulative net inflows.
  • Institutional investors are shifting capital from Bitcoin and Ethereum ETFs to XRP ETFs, indicating improved sentiment.

XRP Realized Profit Loss | Source: Glassnode
XRP ETF Inflows | Source: SoSoValue