- XRP experiences a continuing correction, declining by 7.4% over the past 24 hours, while its market capitalization shrinks by $17.96 billion within a week.
- XXRP ETF achieves over $5 million in volume on its first day, exceeding the volume of the Solana ETF (SOLT) by more than double.
- Any recovery for XRP remains out of reach amidst the tariff disagreements involving US President Donald Trump.
- Bearish technical signals indicate XRP might drop further, potentially testing a critical support level at $1.4000.
XRP is struggling to maintain its position, with critical support levels eroding due to volatility triggered by macroeconomic issues, notably the reciprocal tariffs initiated by US President Donald Trump. In the last 24 hours, the cross-border payment token has dropped by 7.4%, trading at $1.1770 during the late session in Asia on Wednesday, despite the launch of the XXRP ETF—a 2x leveraged exchange-traded fund—on the New York Stock Exchange (NYSE) Arca the previous day.
XRP hangs by a thread as XXRP ETF debuts
XRP’s downward momentum continues as investors respond to the ambiguity surrounding Trump’s tariff strategy, with any chances of recovery from the “Black Monday” sell-off evaporating quickly during the US trading session on Tuesday.
The slide in XRP from above $2.000 has now dipped to a low of $1.6176 this week, coinciding with the launch of the XXRP ETF at NYSE Arca. This first XRP-based ETF in the US aims to leverage the underlying asset’s volatility with 2x amplification.
Bloomberg ETF analyst Eric Balchunas noted that the XXRP ETF recorded over $5 million in trading volume on its inaugural day, a notable accomplishment given the current volatility within the crypto and broader financial markets. While this is substantially lower—200 times—compared to BlackRock’s IBIT ETF on its opening day, it nevertheless places XXRP in the top 5% of new ETF launches. Additionally, the volume was four times greater than that of the 2x Solana ETF (SOLT).
$XXRP (2x XRP ETF) saw $5mil in volume on Day One, very respectable, especially considering the market conditions. This puts it in approximately the top 5% of new ETF launches, and about 4x what the 2x Solana ETF $SOLT achieved (though still 200 times less than King IBIT). pic.twitter.com/u3QQq5yuHv
— Eric Balchunas (@EricBalchunas) April 8, 2025
In response to Balchunas’s XXRP ETF comments, crypto lawyer John Deaton mentioned that XRP retains more appeal than some industry participants may acknowledge. He pointed out that, despite the prevailing negativity surrounding XRP, the token garnered strong backing from 75,000 holders who united to petition the court during the Ripple lawsuit against the Securities and Exchange Commission (SEC).
Despite the overall negative sentiment from individuals in the crypto sphere, I’ve consistently believed that XRP is far more appealing than many industry figures are willing to recognize. Consider this: 75K XRP holders banded together to petition the Court in the Ripple case – truly remarkable. In my opinion, XRP… https://t.co/ZPL8CKDrYR
— John E Deaton (@JohnEDeaton1) April 9, 2025
Aside from the XXRP ETF, Trump’s reciprocal tariffs are taking the spotlight this week. The President reaffirmed on Tuesday that the tariffs set to take effect on April 2 will proceed as scheduled, rejecting requests for a 90-day pause to facilitate negotiations.
The ongoing risk-off sentiment in the cryptocurrency market is anticipated to persist, impacting major cryptocurrencies such as Bitcoin (BTC), Ethereum (ETF), and other prominent altcoins.
XRP sees bearish technicals amidst rising risk-off sentiment
XRP remains below the 50-day, 100-day, and 200-day Exponential Moving Averages (EMAs), and is trading beneath vital support levels, including $2.000 and $1.8000. This week, XRP extended its decline down to $1.6176, a level not seen since November 2024, yet it is currently positioned slightly higher at $1.7500.
A notable downward trend in the Relative Strength Index (RSI), nearing oversold status, indicates that traders are adopting a risk-off posture. The Moving Average Convergence Divergence (MACD) further confirms this negative outlook, extending the sell signal beneath the mean line. Should XRP fail to reclaim immediate support near $1.8000, declines are likely to persist toward the next significant support range between $1.4000 and $1.4500. Given the current market climate, it seems premature to write off a potential drop to $1.0000.
XRP/USDT daily chart
Nevertheless, traders should remain vigilant as the RSI approaches oversold territory, as a sudden rebound may occur. Depending on the market’s response to the US tariffs, investors may consider planning their dip purchases strategically—utilizing tactics like dollar-cost averaging (DCA) to avoid missing potential recovery opportunities above $2.