The much-anticipated launch of crypto asset manager Bitwise’s spot XRP exchange-traded fund (ETF) on the New York Stock Exchange on November 20 failed to provide any bullish catalyst for the digital asset. Instead, XRP tumbled to a low of $1.81 on November 21 — its weakest level since April 9 — as a broader market sell-off deepened monthly losses to over 25%.
ETF Debut Followed by Double-Digit Losses
Despite the hype surrounding the first spot XRP ETF in the United States, the token’s price action turned sharply negative within 24 hours of the listing. XRP had been trading just above $2 before the sell-off, but the market-wide crash on Friday, November 21 sent it plunging to $1.81. Although it recovered slightly to around $1.90 as of 7:53 a.m. EST, the token remained down 17% over seven days and 20% over 30 days. Since its peak of $3.66 in July this year, XRP has shed nearly half its value, driving its market capitalization from over $200 billion down to $115 billion.
The broader crypto market suffered heavily alongside XRP. Bitcoin (BTC) dropped to $80,500, dragging the total cryptocurrency market capitalization below $3 trillion for the first time in months. Analysts attributed the crash to a collapse of the macro narrative that had previously supported BTC’s high valuation, as well as the confirmation of a “death cross” — the BTC 50-day moving average falling below the 200-day moving average. The sell-off was severe and widespread, affecting altcoins across the board.
The sharp XRP decline triggered a wave of leveraged liquidations. Over the past 24 hours, $37 million in XRP long positions were liquidated, overwhelmingly outweighing the $4.3 million in short positions. This imbalance underscores the heavy losses suffered by bullish traders who had anticipated that the ETF launch would attract new institutional capital. Instead, the market’s bearish momentum overwhelmed any potential buying pressure from the ETF.
Technical Indicators Flash Bearish Signals
The sustained sell-off has caused several classic technical indicators for XRP to flash strongly bearish signals. At the time of writing, XRP is trading below its short-term, medium-term, and long-term moving averages, confirming a strong downtrend. Key support levels that previously held around $2.07 to $2.10 have now flipped into resistance, meaning any recovery attempt is likely to face selling pressure at those levels.
Furthermore, the 14-day relative strength index (RSI) has fallen into the low 30s. While this is nearing oversold territory, in the context of a well-established downtrend it primarily reflects current market weakness rather than an imminent reversal. The digital asset has also broken below a falling trend channel in the medium term, suggesting that the rate of price decline may accelerate. Without a significant fundamental catalyst — such as a favorable legal ruling or major institutional adoption — XRP is expected to remain under pressure.
Market Outlook and FAQ
The inability of the ETF launch to stem XRP’s decline highlights the broader bearish sentiment gripping the crypto market. Combined with macroeconomic uncertainties and deteriorating technicals, XRP faces an uphill battle to regain lost ground. The next key support level is around $1.70, while resistance lies at $2.10. Here are some frequently asked questions:
- What happened after the XRP ETF launch? XRP fell to $1.81, its weakest level since April.
- How did the broader crypto market react? BTC dropped to $80,500, and total market cap slipped below $3 trillion.
- What losses did XRP record globally? XRP shed nearly half its value since July, with its market cap down to $115 billion.
- What do technical indicators show now? XRP trades below key moving averages, with RSI near oversold levels signaling continued weakness.