Ripple ETFs Debut on NYSE, But Investors Remain Wary
Ripple’s milestone announcements, including the launch of two ETFs on the New York Stock Exchange (NYSE), appeared at first glance to set the stage for a bullish narrative. However, instead of igniting investor interest, the cryptocurrency’s token, XRP, continues to underperform, with its value dropping below $2. So, what’s behind this lackluster response?
Understanding Ripple’s Current Struggles
Despite significant catalysts like ETF launches, Ripple’s on-chain data tells a less optimistic story. According to Glassnode, only 57% of XRP’s circulating supply is in profit—a sobering figure that reflects its lowest level since November 2024. This lack of profitability among holders suggests a decreased conviction among investors.
Moreover, the 30-day Exponential Moving Average (EMA) of daily realized losses for XRP has hit $75 million, the highest level since April 2025. This metric points to a growing number of investors selling at a loss, which erodes confidence further. Meanwhile, many of XRP’s market competitors, including Ethereum (ETH), are reclaiming higher price levels following global crypto market corrections, leaving Ripple struggling to regain momentum.
Are ETFs Failing to Deliver?
While the launch of products like the Franklin Templeton and Grayscale XRP ETFs might seem like a bullish indicator, these offerings have so far failed to shift market sentiment significantly. The key issue here is fading conviction. As evidenced by poor price action and lagging recaptures of previous highs, XRP’s market isn’t finding the ETF launches compelling enough to spark a rally.
Notably, broader market weaknesses appear to exacerbate Ripple’s challenges. With confidence waning among XRP holders, the potential for ETFs to act as a game-changer seems increasingly unlikely in the near term.
Potential for Undervalued Growth
Despite its current struggles, Ripple does have its share of long-term optimists. The theory of XRP being undervalued gains traction when zooming out. For those seeking outsized future returns, the current dip may present an opportunity to buy low before another potential breakout.
Yet, clear risks remain. The lack of upward momentum and on-chain strength raises questions about whether these dips represent true value or a deeper systemic issue within Ripple’s ecosystem. For now, patience seems to be wearing thin among most HODLers.
Looking Ahead: Is Ripple at a Turning Point?
As Ripple ventures further into Wall Street with its ETFs, time will tell whether these financial products can eventually gain traction. Investors looking to enter the market should exercise caution and stay updated on both on-chain analytics and broader economic conditions. For those watching Ripple closely, the best strategy may involve diversification and waiting for clearer signals of a market reversal.
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