XRP ETFs End 13-Week Streak as On-Chain Activity Slows

A Surprising Break in a Three-Month Winning Streak

For thirteen straight weeks, institutional investors kept buying into spot XRPXRP+1.90% exchange-traded funds (ETFs) in the United States. That steady streak came to a halt during the week of October 12–16.

According to data from SoSoValue, these funds posted their first net weekly outflow in three months. While the total withdrawal was relatively small, it signaled a temporary pause in institutional demand.

To understand what a net outflow means, imagine a bucket of water. A net outflow occurs when investors withdraw more money from a fund than they add over a specific period.

In this case, investors pulled out a net total of roughly $1.84 million over the course of the week. Although modest for products of this size, the reversal stood out because of the long positive streak before it.

Even with this setback, total cumulative net inflows into spot XRP ETFs still sit near $1.8 billion as of mid-October, according to SoSoValue.

Breaking Down the Weekly ETF Numbers

The week started quietly for XRP ETFs, with daily flows remaining mostly flat through Monday and Tuesday. Buyers briefly returned to the market mid-week.

On Wednesday, the funds registered approximately $740,000 in net positive inflows. However, that upward momentum did not last through Friday.

The turning point came on Friday when redemptions picked up sharply. Investors withdrew approximately $2.47 million from the funds in a single session.

Much of Friday's heavy outflow was attributed directly to Canary Capital's XRPC product. Without that single redemption, the week would have closed with a net positive inflow of around $630,000.

XRP Price Moves and Key Technical Levels

The shift in ETF flows arrives at a sensitive moment for XRP's market price. Data from BeInCrypto shows XRP trading near $1.28, representing a 1.60% decline over 24 hours.

Looking at a broader timeframe, the token is down about 6.3% over the past month. The asset is currently testing support near the $1.30 level after failing to hold above key moving averages.

Technical analysis suggests two potential scenarios from here. If buyers step in at the $1.30 support level and trading volume picks up, XRP could attempt a recovery back above moving averages. However, if market pressure continues and support breaks, prices could experience further downside risk.

Past performance of digital assets or past operating results are not indicative of future performance. Investors should always account for short-term market volatility.

On-Chain Activity Drops: What Happened on the XRP Ledger?

At the same time ETF demand slowed, activity directly on the XRP Ledger experienced a sudden drop. Data from XRPSCAN reveals that payment volume fell to 119.5 million XRP on October 17.

This represents a 72.3% single-day decline in payment activity. For comparison, this number sits well below the network's 30-day daily average of 629.3 million XRP.

To put this in historical context, the XRP Ledger's all-time high daily payment volume stands near 7 billion XRP, according to XRPSCAN.

Historically, payment volume on the network has shown high volatility. It is fairly common to see short-lived activity spikes followed by sharp pullbacks.

What This Means for Market Participants

Analysts point out that a single day of low payment volume does not automatically signal a permanent decline in network usage.

However, the combination of lower on-chain volume and ETF redemptions highlights a period of cooling demand across both retail and institutional channels.

If payment activity remains suppressed and ETF flows stay weak, the short-term market outlook could remain cautious.

Conversely, if network activity bounces back in coming sessions, this brief dip may simply reflect normal market fluctuation rather than a broader trend.