XRP climbed 4% Tuesday as investors responded to the debut of spot exchange-traded funds tracking the digital asset. The token hit $2.20 during the session, with Grayscale and Franklin Templeton products drawing $130 million in combined inflows on their first trading day.
What Happened: ETF Launch
The newly launched ETFs attracted significant capital, according to CoinBureau data. XRP ranked fourth in first-day inflows behind Bitcoin, Ethereum, and Solana.
Grayscale's product pulled $67.4 million while Franklin Templeton's offering captured $62.6 million.
Crypto analyst Ali Martinez identified a right-angled ascending broadening wedge forming on XRP's chart, a pattern that typically precedes sharp upward price movements.
The structure hinges on XRP maintaining support above $2. CrediBULL Crypto noted the token spent years near $0.50 before surging fivefold in recent months, a move that followed extended periods of negative sentiment.
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Why It Matters: Portfolio Positioning
Roger Bayston, Head of Digital Assets at Franklin Templeton, said blockchain innovation drives emerging industries, with tokens serving as incentive mechanisms for decentralized networks.
He described XRP as a core holding for diversified digital asset portfolios. Franklin Templeton's XRPZ fund provides regulated custody and daily transparency, eliminating the operational complexity of direct token management.
The ETF launches mark a shift in institutional access to XRP. The inflow figures suggest demand exists beyond retail speculation, though technical analysts warn that breaking below $2 would invalidate the current bullish setup.
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