XRP ETF Inflow demonstrates institutional interest in the asset even when the price of XRP itself is weak. The spot ETFs continue to draw interest while technical levels suggest that an important fight is on its way. Meanwhile, the CFTC is implementing new regulations.
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XRP ETF Inflow Remains Strong as XRP Falls
A crypto analyst, X Finance Bull, pointed out on September 24 that the spot XRP ETF has already gathered $61.87 million in the month of September, bringing the total net inflows to $1.73 billion. Clearly, demand for investments in XRP products is still in effect despite the recent fall in price.
In terms of XRP ETF inflows, the latest information reveals the difference between the market performance of XRP in the short term and its investment inflows. Although the token has been facing selling pressure, people keep on investing in the spot ETFs.
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XRP ETF Inflow Signals Strong Demand
As per X Finance Bull, while September may not be over yet, XRP ETFs are already showing $61.87 million worth of inflow for this month. The total cumulative inflow for XRP ETFs is now at $1.73 billion.
The inflow has been noteworthy despite the technical pressure being placed on XRP currently. Yet, inflow for ETFs does not equate to a price rebound immediately.
At the moment, the discrepancy between ETF interest and spot price performance continues to be an important aspect of the XRP story.
XRP Price Faces Key Support and Resistance Levels
Even the technical analysis is weak in the short-term view. Crypto analyst CRYPTOWZRD pointed out on September 24 that XRP had closed bearish and that it was currently trading below the resistance at $1.5300.
As per the CRYPTOWZRD, gaining back the $1.5300 barrier may help in making a comeback, while staying below this level will only make for more volatility.
CRYPTOWZRD considered $1.4400 as the important support zone. Staying above this zone can assist XRP in stabilizing its price, and if the token breaks down from here, then there could be more selling pressure on it. Now, it is clear that the two important levels are $1.5300 and $1.4400.
At the time of writing, XRP is trading at $1.50, with a 24-hour trading volume of $7.05 billion and a market cap of $94.53 billion. XRP has declined 7.32% over the last 24 hours.
CFTC Moves Ahead With Crypto Market Structure
In addition to prices and ETFs, regulatory developments in the US are also catching some attention.
Michael Selig, the chairman of the CFTC, stated that the agency is using its current powers to build a regulatory market structure for crypto assets. He further stated that the agency is seeking to set some guidelines for the digital asset space.
There may be wider consequences for crypto exchanges, financial products, and digital asset firms active in the US market.
Regulatory clarity would be especially important for XRP as institutional involvement increases via the use of spot ETFs.
XRP ETF Inflow Remains a Key Market Indicator
The latest information shows that there are two opposing trends for the XRP cryptocurrency. First, there has been a fall in the price of XRP by 7.32%, and the total amount of ETF Inflow has reached $1.73 billion.
The nearest technical levels are $1.5300 (resistance) and $1.4400 (support). If the asset breaks above the resistance level, it might change the structure of the short-term chart positively.
In addition to the above, XRP ETF Inflow offers another way of measuring demand via investment vehicles. The question remains whether investors will see these inflows lead to persistent demand for XRP going forward.
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