Key Notes
- XRP ETFs have consistently recorded net inflows, a sign of sustained adoption.
- The ETF products recorded about $43.9 million in net inflows on December 22.
- XRP price is still lagging, a proof of divergent ecosystem metrics for the altcoin.
Spot XRP ETF products have taken the broader cryptocurrency market by surprise with their massive inflows as some other altcoin funds struggle to find stability.
The demand for the XRP ETF is on the rise and has led to an uninterrupted inflows streak. This outlook suggests that institutional investors are confident about XRP’s long-term potential.
XRP ETFs Outperform Counterparts
On December 22 alone, US XRP ETFs recorded about $43.9 million in net inflows, marking their strongest daily showing since early December.
The week before, these spot XRP ETFs recorded $82 million in net inflows.
Coincidentally, Bitcoin
BTC
$86 804
24h volatility:
3.5%
Market cap:
$1.73 T
Vol. 24h:
$46.56 B
and Ethereum
ETH
$2 915
24h volatility:
4.6%
Market cap:
$351.24 B
Vol. 24h:
$22.01 B
ETFs were bleeding at the same time, but the inflows remained intact for their XRP [NC] counterparts
It is worth noting that this XRP fund has not had a single day of net outflows so far. This includes XRP ETFs from Canary Capital, Bitwise Asset Management, Grayscale Investments, Franklin Templeton, and even 21Shares.
This has resulted in cumulative net inflows of approximately $1.12 billion, according to SoSoValue data.
Compared to Ethereum ETFs, which the US SEC greenlighted for trading way earlier, XRP ETF volume records a modest flow.
However, the consistency of the inflows is worth acknowledging. Most of these crypto funds are known for their rapid in-and-out rotations, but not the XRP ETF.
Judging by the sequence and performance, it appears that early allocators are gradually building exposure.
They may be treating the asset as a positioning tool rather than a short-term trade. This could mean so much more for XRP and possibly catalyze the coin’s price rally.
Future of XRP’s Price
Meanwhile, the XRP price has not made much of a comeback, following the launch of the ETF products.
The coin is currently trading at $1.90 with a 1.26% dip within the last 24 hours. Its market capitalization is pegged at $115.12 billion, causing the digital currency to remain the fifth-largest crypto.
Also, its 24-hour trading volume comes in at about 12% higher at the time of this writing.
A few days ago, top crypto trader Peter Brandt spotted a double-top pattern formation for the XRP price, while expecting another 50% drop to $1.
The latter statement means that the coin could face a sharp decline to $1 level if buyers fail to overcome this bearish pattern.
Disclaimer: Coinspeaker is committed to providing unbiased and transparent reporting. This article aims to deliver accurate and timely information but should not be taken as financial or investment advice. Since market conditions can change rapidly, we encourage you to verify information on your own and consult with a professional before making any decisions based on this content.
Benjamin Godfrey is a blockchain enthusiast and journalist who relishes writing about the real life applications of blockchain technology and innovations to drive general acceptance and worldwide integration of the emerging technology. His desire to educate people about cryptocurrencies inspires his contributions to renowned blockchain media and sites.
