Can XRP Price Hit $3, As These ETF-Developments Fuel Optimism?

XRP price has been struggling to find a bullish footing recently, but that struggle might soon be over. A recent price pattern suggested that a major price move might be on the cards, with momentum likely fueled by optimism over Ripple ETFs.

XRP price has been moving within a wedge pattern that has been playing out for over 8 weeks.

Latest observations revealed that it has been pushing deeper into the tight squeeze zone, meaning the probability of a breakout or breakdown might occur soon.

XRP’s RSI hovered just below its 50% level, which was a reflection of its struggle to achieve a significant bullish momentum.

However, that struggle might not last much longer, courtesy of recent Ripple ETF developments.

Multiple XRP ETF developments in North America Could Reignite Interest in XRP

Ripple ETF demand might be about to kick into high gear courtesy of recent developments. Among them is the announcement that Purpose Investments just launched a spot XRP ETF.

This development was noteworthy because the firm is the largest digital asset management firm in Canada.

It is also popular for launching one of the first spot Bitcoin ETFs in North America (the Purpose Bitcoin ETF).

According to the official announcement, the spot XRP ETF will trade under the ticker XRPP on the Toronto Stock Exchange.

Another Canadian company, 3iQ, also announced the launch of its XRP ETF. The company announced that the 3iQ XRP ETF commenced trading on 18 June at the Toronto Stock Exchange, where it will trade under the ticker XRPQ.

The Canadian company also confirmed that Ripple would be among the investors. It also revealed that it will waive all the management fees for the XRP ETF for the first 6 months in an effort aimed at attracting investors.

3iQ president and CEO Pascal St. Jean highlighted the focus on a cost-effective offering as one of the key areas of convenience for investors.

Another Canadian XRP ETF may also be about to make its debut. On Monday, Evolve Funds Group, another digital asset management firm, submitted a final prospectus to Canadian investors.

The prospectus revealed plans to launch the Evolve XRP ETF on 18 June. The ETF was to be launched on the Toronto Stock Exchange under the ticker XRPU, and it will be available as a spot ETF.

Will Demand From the Canadian ETFs Fuel XRP Price Action?

The fact that 3 Canadian digital asset management firms have launched XRP ETFs within the same week signals strong interest among North American investors. It was unclear whether a similar trend would be observed in the U.S.

However, the recently launched Ripple ETFs may trigger a demand surge for XRP price in the coming days.

Spot exposure also means that strong demand, especially from institutional investors, could potentially trigger a heavy demand wave for the cryptocurrency.

Speaking of spot activity, XRP spot flows mostly leaned in the red since mid-April. This may explain why it has been struggling to maintain a bullish trend in the last 2 months.

The announcements about the Canadian XRP ETF rollouts did not have a major impact on market sentiment.

Roughly $5.4 million worth of spot inflows were observed in the last 24 hours, which signaled the absence of excitement.

On the contrary, the derivatives segment demonstrated higher levels of optimism. Derivatives volumes were down by 34% in the last 24 hours, but options volumes were up by 144% during the same period.

This confirmed that derivatives investors expected the announcements to yield a significant upside for the cryptocurrency.

The market’s outcome was enough confirmation that news about multiple Canadian ETFs being launched the same week didn’t trigger a sizable move. However, that may change in the coming weeks or months.

The spot XRP ETFs have the potential to influence XRP price further down the road. This is, however, dependent on the level of liquidity flows into the ETFs.

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