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FAQs

Why did XRP’s price fall after its record-breaking ETF launch?

XRP’s price declined due to significant outflows totaling over $68 million. This selling pressure, combined with a broader downturn in the crypto market, led to the price drop.

What is a spot XRP ETF?

A spot XRP ETF is an investment fund that directly holds XRP tokens, allowing investors to gain exposure to the cryptocurrency’s price movements without needing to own the tokens themselves.

Is XRP’s price tied to Bitcoin’s?

Yes, XRP’s price movements are strongly correlated with the broader crypto market, particularly with Bitcoin. When Bitcoin’s price slides, other tokens like XRP often follow suit.

What does the record-breaking ETF volume mean for XRP?

The record-breaking volume shows significant investor interest and demand for a regulated way to access XRP. However, it doesn’t guarantee a price increase, as market dynamics like outflows still apply.

The post Why Is XRP Price Dropping Despite Spot ETF Record on Day One? appeared first on Coinpedia.org.

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