XRP News Today: XRP ETF Inflows Outpace Bitcoin Outflows as Institutions Bet on Ripple's Infrastructure

Veteran financial analyst Peter Brandt has positioned XRP as a top-performing cryptocurrency in the coming months, citing robust institutional inflows and regulatory tailwinds. The recent launch of XRP-focused exchange-traded funds (ETFs) has catalyzed a surge in capital inflows, with $199.45 million entering the asset class in just two days—surpassing the previous week's total of $179.60 million according to a report. This momentum has been driven by products from major players like Franklin Templeton's XRPZ and Grayscale's GXRP, which debuted on November 24 and attracted $164.04 million in net inflows on the first day alone. Analysts argue that the institutional appetite for XRP is being fueled by its unique utility in cross-border payments and existing infrastructure in Asia, distinguishing it from speculative altcoins according to market analysis.

The ETF activity has coincided with mixed price action for XRP. While the token rebounded to $2.08 after bouncing from key support levels, it briefly dipped below $2 amid large whale selling of 200 million XRP in the 48 hours following the ETF launch. However, experts caution against overreacting to short-term volatility, noting that institutional flows often lag behind market sentiment. "The current inflows are just the tip of the iceberg," said one strategist, emphasizing that XRP ETFs could see sustained capital inflows until 2026 as regulatory clarity solidifies.

The growing institutional interest is further underscored by CME Group's announcement of spot-quoted XRP and Solana (SOL) futures, set to launch on December 15. These contracts, designed to mirror real-time spot prices, aim to provide hedging tools for investors navigating the ETF-driven demand. Meanwhile, XRP's ETF inflows have outpaced Bitcoin's outflows, with $164 million flowing into XRP products compared to $151 million leaving Bitcoin ETFs in the same period according to market data. This divergence highlights a strategic shift in institutional capital toward altcoins with tangible use cases, particularly those with established infrastructure like Ripple's payment networks.

The ETF structure itself has amplified XRP's supply dynamics. Physically backed designs require ETF providers to purchase XRP during creation cycles, reducing free float and potentially amplifying price reactions. This mechanism, combined with competitive fee structures and marketing efforts by issuers, has accelerated adoption. Bitwise, Grayscale, and Canary Capital have dominated early inflows, with Bitwise's XRPC ETF alone attracting $21.30 million in a single session.

Despite the optimism, challenges remain. XRP's derivatives market remains underdeveloped, with futures open interest dropping to $3.57 billion as retail demand lags. Additionally, 41.5% of XRP's circulating supply is currently in a loss position, signaling structural fragility according to recent analysis. However, proponents argue that the institutional-grade custody solutions offered by ETFs—such as Franklin Templeton's XRPZ, which partners with Coinbase for custodial services—address these concerns by eliminating the need for individual wallet management.

As the market digests these developments, analysts project XRP could test the $3 level if current inflow trends persist. With major asset managers like BlackRock and Fidelity yet to file XRP ETF applications, the institutional phase of this cycle is far from over.