While most top cryptocurrencies faced heavy outflows last week, XRP bucked the trend, drawing over $93 million in inflows into investment products tied to the token. The surge highlights growing investor confidence as anticipation builds around potential exchange-traded fund (ETF) approvals.
XRP Defies Market Outflows
According to CoinShares’ weekly report released on September 29, global digital asset investment products saw total outflows of $812 million, as stronger-than-expected U.S. macroeconomic data cooled hopes for imminent Federal Reserve rate cuts.
Bitcoin bore the brunt of the sell-off, registering $719 million in outflows as its price slipped below $109,000. In contrast, XRP ranked second in inflows behind Solana, which led with $291 million.
ETF Hype Drives Momentum
XRP’s inflows come as speculation around ETF approvals heats up. The launch of the REX-Osprey XRP ETF earlier this month marked a milestone, recording strong debut volumes and drawing institutional attention.
Analysts note that investor optimism stems from recent SEC developments. The regulator approved generic listing standards for exchange-traded products, meaning exchanges can list spot ETFs that meet certain criteria without filing lengthy rule change proposals.
With XRP futures already trading on U.S. exchanges for over six months, many believe the token is now well-positioned for a spot ETF approval.
Why It Matters
An XRP ETF would provide regulated, mainstream access to the cryptocurrency, potentially boosting liquidity and broadening investor participation. Market watchers are keeping an eye on upcoming SEC deadlines for XRP, Solana, Litecoin, and Dogecoin spot ETFs.
The SEC’s recent move to ask issuers to withdraw their older filings signaling a shift to streamlined rules — has further fueled optimism that approvals could come sooner than expected.
The Bigger Picture
As crypto markets grapple with shifting sentiment around interest rates and macroeconomic uncertainty, XRP’s resilience underscores the growing role of ETFs in shaping investor flows. While Bitcoin struggled, XRP and Solana stood out as the week’s clear winners, buoyed by speculation that a new wave of spot crypto ETFs could soon hit U.S. markets.
For now, all eyes remain on regulators and whether XRP will be among the first altcoins to secure ETF approval.
