XRP trades about a quarter below modeled ETF acquisition cost as tracked holdings slip 0.26%

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XRP trades about a quarter below modeled ETF acquisition cost as tracked holdings slip 0.26%
PrimeXBT Editorial Team
Reviewed by PrimeXBT

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XRP

XRP traded near $1.29 on Oct. 29, about a quarter below the modeled acquisition cost of US-listed XRP fund holdings. Yet the funds with published flows showed only a small, concentrated decline, leaving most existing exposure in place.

XRP traded near $1.29 on Oct. 29, roughly a quarter below the estimated acquisition cost of the exposure accumulated in US-listed XRP funds. But the latest settled data show only a small, concentrated decline in the group of ETF funds with published flows.

Data tracker XRP Insights puts modeled acquisition cost at about $1.71, with a net reduction of about 2.96 million XRP over Oct. 26-28. Comparing Oct. 23 and Oct. 28 balances for the same group, the decline is roughly 0.26%.

XRP Insights estimated approximately 1.17 billion XRP of exposure across six products in its Oct. 28 snapshot, rising to 1.19 billion when the XRP sleeve of the Bitwise 10 Crypto Index Fund (BITW) was included.

Decline concentrated at Bitwise

The drop was concentrated at one issuer. Bitwise's fund moved from about 416.61 million XRP on Oct. 23 to 413.82 million on Oct. 26, then stayed flat through Oct. 28. Franklin Templeton and 21Shares were flat across those three sessions.

Not every session was negative. Oct. 28 added about 174,140 XRP, partially reversing the earlier decline.

What the $1.71 estimate measures

XRP Insights estimates acquisition cost at roughly $1.707 per XRP for the six-product portfolio and $1.712 including BITW, implying gaps of about 24.4% and 24.6% against the $1.29 price.

The model does not follow shareholders' trades. An investor may have bought fund shares long after the underlying XRP entered the portfolio, at a premium or discount to net asset value. As a result, the estimates cannot establish that ETF shareholders are collectively down 25%, and $1.71 does not define a price floor.

A stronger signal of net expansion would be sustained increases in both XRP holdings and shares outstanding across several issuers. Persistent reductions across multiple funds, with falling share counts and redemption activity, would weaken the picture of a largely retained portfolio.

Source: CryptoSlate

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