XRP community figure and game designer Chad Steingraber has emphasized that two factors determine XRP’s price action when it comes to capital flows.
The reminder comes at a time when XRP is struggling to regain momentum after slipping below the $3 mark, a level many traders had regarded as a psychological floor. Despite the decline, XRP managed to hold support above $2.60 and recently recovered to higher levels.
In a recent disclosure on X, Steingraber, who has been monitoring netflows across exchanges, explained that the crucial battleground currently sits around $2.68.
According to him, XRP continues to hold this line even though exchange data shows outflows outpacing inflows. Notably, he claimed that this is a healthy sign, suggesting the market may have established a proper price floor at this level before the next upward push.
Net Flows and Velocity Matter for XRP
Meanwhile, during the discussion that ensued, a trader asked him whether exchange-traded funds (ETFs) would naturally create more inflows than outflows once they launch.
In response, Steingraber explained that the important part is not only the direction of flows but also their speed and magnitude.
There are two things that matter most for moving the price for an asset like XRP:
1 – Net Flows
2 – Velocity of those Flows1 Billion in Net Inflows for a single day is much different than 1 Billion of Net Inflows for a whole year. https://t.co/QzRLYfbkmw
— Chad Steingraber (@ChadSteingraber) September 27, 2025
He noted that net inflows can have very different impacts depending on how quickly they arrive. For instance, a billion dollars moving into XRP in a single day would affect the price far more dramatically than the same amount spread slowly across a year.
To put things into perspective, netflows reveal whether more capital is entering or leaving the asset, but velocity shows the intensity and pressure those movements create.
Essentially, quick surges of inflows can trigger sharp rallies, while steady but sluggish inflows may not provide the same momentum. This helps explain why some coins react with explosive gains after sudden buying interest, while others show little response even when money enters consistently.
XRP ETF Anticipation
Steingraber’s comments come during the market’s anticipation of several XRP ETFs. Specifically, multiple issuers, including Grayscale, 21Shares, and Canary Capital, expect decisions from regulators in October, while Franklin Templeton is awaiting a ruling in November.
In a recent update, journalist Eleanor Terrett revealed that the SEC has requested issuers of ETFs for XRP, Litecoin, Solana, Cardano, and Dogecoin to withdraw their previous filings.
This step follows the introduction of new generic listing standards that eliminate the need for those older forms. She added that withdrawals could begin within days.
Bloomberg ETF analyst Eric Balchunas responded by noting that this move had been expected and that the updated framework makes older filings unnecessary. However, he noted that the exact rollout timeline for the new funds remains uncertain, with more details likely to emerge soon.
Industry analysts now believe XRP ETF approvals are almost guaranteed under the revised process, with many expecting the SEC to confirm favorable decisions before the end of October. Optimism around the products comes from the view that ETFs will lead to institutional capital and attract significant inflows into XRP.
Canary Capital’s CEO Steven McClurg recently projected that XRP ETFs could see as much as $5 billion in inflows within their first month of trading. If this forecast materializes, Steingraber’s analysis could become a reality.
DisClamier: This content is informational and should not be considered financial advice. The views expressed in this article may include the author's personal opinions and do not reflect The Crypto Basic opinion. Readers are encouraged to do thorough research before making any investment decisions. The Crypto Basic is not responsible for any financial losses.
