The severe market volatility that affected XRP's price movement last week has also extended to its ETF ecosystem as both retail and institutional investors appear to be taking caution.
The broad XRP ETF market has posted its worst weekly performance in over three months, drawing attention from market analysts about how this could affect XRP's price potential.
Over $1.84 million exit XRP funds last week
According to the latest data from SosoValue, XRP ETFs have recorded a net outflow of over $1.84 million over the last week.
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While this marks the first weekly outflow the funds have registered since July 7th, it has come at a time when the market is facing a downturn, raising concerns about whether investor demand for the XRP investment product is beginning to weaken.
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Notably, the reversal has come after XRP ETFs maintained a steady streak of consistent capital inflows for 13 consecutive weeks.
As such, the XRP funds have broken the bullish trend with a negative performance this week after seeing sustained investor interest in gaining exposure to the XRP investment product.
XRP demand stalls as price retests $1.30
While the performance of the XRP funds provides a bearish outlook for the asset, XRP's recent price movements have contributed to the uncertainty surrounding its short-term outlook.
Despite showing signs of a potential price recovery in the previous day, XRP is back in the red and has once again retested the $1.30 level, placing market sentiment under renewed pressure.