On November 13, 2025, the first spot XRP ETF, XRPC, launched on Nasdaq with very high initial volumes and substantial inflows, signaling strong institutional interest managed by Canary Capital and approved by regulators. Days later, XRP retraced around 4.3% and found support near $2.22, revealing a disconnect between ETF demand and immediate price performance. The divergence underscored the influence of Bitcoin weakness and microstructural factors on the token, shaping short-term market dynamics around XRP.
Canary Capital recorded $26 million in volume in the first 30 minutes and $58 million by the first-day close, with reported inflows in the range of $245–$250 million, marking one of the most important ETF launches of 2025. Despite the strong debut, XRP fell from levels near $2.52 to around $2.22–$2.28 by mid-November, a correction of approximately 4.3% that contrasted with the enthusiasm around the listed vehicle.
The drop coincided with an adverse macro backdrop as Bitcoin weakened in the approximate range of $95,000–$102,000, and the positive correlation between XRP and Bitcoin —which across different timeframes can be around 0.86–0.88— amplified the downward move across the crypto ecosystem. Significant sell-offs by large holders —estimated at about 200 million XRP— and the opening of leveraged short positions of up to 20x added punctual selling pressure that further weighed on price.
A relevant operational factor was the ETF’s T+1 settlement treatment: this mechanism implies that cash from subscriptions is not immediately available to the ETF issuer, which can delay the actual purchase of the underlying asset and reduce immediate buying pressure on XRP. T+1 is the settlement period in which the transfer of funds and assets is completed one business day after the trade, shaping the timing of flows from the listed vehicle to spot demand.
Implications for XRP ETF
interest in XRPC demonstrates regulated demand for XRP exposure, but immediate spot liquidity can be dampened by settlement processes that stagger buying activity. With high correlation with Bitcoin exposes XRP to episodes of systemic risk, reducing the asset’s independence against declines in the market leader. While large sell-offs and leveraged short positions can cause temporary price distortions and increased volatility.
The XRPC ETF premiere consolidates a regulated channel for institutional entry into XRP, but the price reaction shows that ETF adoption does not guarantee instant appreciation of the token. The next operational milestone to watch will be the evolution of the ETF’s net flows and the settlement dynamics that determine execution of purchases of the underlying asset, guiding how demand translates into spot market impact.
