Institutional XRP Demand Surges
U.S. spot XRP ETFs have extended their streak of net inflows to 13 days, pushing cumulative totals close to $1 billion, surpassing Bitcoin and Ethereum ETFs in weekly inflows. This trend indicates growing institutional interest in regulated XRP exposure, affecting allocation strategies across various digital assets, while also influencing the asset's liquidity and market dynamics.
U.S. spot XRP ETFs have seen 13 consecutive days of net inflows since mid-November. These cumulative flows have reached approximately $874 million, nearing the $1 billion mark for the first time.
Led by asset managers like Grayscale and Franklin Templeton, these ETFs are aligned for institutional XRP exposure. XRP flows outpace Bitcoin and Ethereum over the recent period, highlighting shifts in institutional demand.
Market Impact and Strategic Moves
These inflows are affecting XRP and related markets, with Solana showing net outflows and Bitcoin and Ethereum ETFs seeing smaller gains. XRP's demand is balancing exchange selling pressure, creating a unique market tension.
Ripple executives have long positioned XRP for cross-border payments and on-chain liquidity. Their focus on regulatory clarity aligns with the growing maturity of institutional interest in XRP ETFs. As Brad Garlinghouse, CEO of Ripple, stated, "We believe XRP is a bridge asset for cross-border payments and on-chain liquidity, which is increasingly recognized by institutional players."
Regulatory Developments and Market Trends
The inflows highlight a preference for regulated products, with on-chain data suggesting a shift in allocation. Similar to previous altcoin ETF trends, XRP's increased liquidity benefits from strong institutional support.
These sustained inflows may encourage regulatory developments and technological enhancements within the XRP ecosystem. Historical ETF trends indicate increased liquidity and traditional market correlation, which XRP now displays.