XRP price falls to 2 dollars, traders follow the impact of the Spot ETF and potential bottom.

XRP price fell to $2 on Monday, sparking traders' interest in the upcoming Spot XRP ETF. In the overall dumping in the Crypto Assets market, XRP's decline surpassed that of Ethereum and BNB, primarily affected by leveraged position liquidations and ETF expectations. Data shows that significant funds have been withdrawn from the sector in the past 12 hours, indicating clear short-term selling pressure.

Market analysts point out that this decline is not triggered by new fundamental events, but rather a typical effect of leveraged liquidations and “news dumping.” Traders view the Spot XRP ETF as a potential bearish factor, similar to the market reaction when Canary Capital and Bitwise launched their products previously. Historical experience shows that ETF listings are often accompanied by short-term price fluctuations, which may be followed by a correction.

Currently, four XRP ETFs have attracted a significant amount of capital inflow since the launch of the first product in the market, but there is limited direct support for spot prices in the short term. The current price of XRP is below the early 2025 levels, indicating a pessimistic market sentiment. Analysts state that if key support levels remain stable, XRP may stabilize in the short term, but investors still need to follow market liquidity and the capital dynamics after the ETF listing.

The technical indicators show that XRP has reached a previously effective support level during the market sell-off, and the short-term price downside is limited. However, ETF expectations and leveraged liquidations may continue to exacerbate volatility. Traders suggest closely following the alignment between capital flows and price trends to assess the likelihood of a bottom formation.

Overall, XRP is clearly under pressure in the short term, but Ripple Labs maintains solid long-term development. In the short term, ETF fund flows and overall market sentiment will be key factors in price fluctuations.