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Key Takeaways
How did the first U.S. spot XRP ETF perform on its launch?
REX Osprey XRP ETF saw 5x more in trading volume on day one than its Futures counterparts.
What’s next for XRP price?
Data showed mixed signals, with a likely impending exchange sell-off, but top players were still bullish on the altcoin.
The first U.S. spot Ripple [XRP] ETF (exchange-traded fund) debuted with a remarkable outperformance on the 18th of September.
The REX Osprey XRP ETF recorded $37.7 million in daily trading volume. Within the first hour of trading, the product raked in nearly $25 million in volume.
This was 5x more demand than other XRP ETF Futures did on their debut, underscoring the massive interest.
Reacting to the performance, Bloomberg ETF analyst Eric Balchunas called it a ‘good sign’ for the incoming spot XRP ETFs.
Source: X
Worth pointing out that other incoming spot XRP ETFs will be under a different and slow regime of the 33 Act. REX Osprey opted for another route to fast-track the XRP ETF listing.
However, the spot XRP price didn’t follow the above impressive launch.
XRP battles $3 hurdle
XRP price dropped about 3%, which could be concerning because the $3 is a key supply and resistance area for the past few weeks.
However, the RSI positioning showed that bulls still had the market edge and could attempt to clear the hurdle.
Source: XRP/USDT, TradingView
But on-chain and derivatives data flashed mixed signals. Notably, the Exchange Reserve has climbed higher from 3 billion XRP at the beginning of the month to 3.6 billion tokens as of press time.
For comparison, last year’s explosive rally was marked by an Exchange Reserve below 3 billion XRP.
Source: CryptoQuant
This could be an impending selling pressure. But it was not clear whether the building Exchange Reserve could make other ETF approvals a ‘sell-the-news event.’
However, in the derivatives market, top Binance traders remained strongly bullish.
In fact, after trimming risk ahead of the Fed rate decision, they increased long positions from 72% to 76% in the past two days.
