Here’s Why XRP Recorded a 20-Week Inflow Despite a Broader Outflow Trend

Last week’s digital asset investment fund report shows that XRP has again emerged as a top performer among other major cryptocurrencies. According to an April 14 blog post by James Butterfill, CoinShares’ head of research, the XRPL native token recorded a significant $3.4 million inflow.

The recent inflow marks twenty weeks of consecutive inflows into the digital investment funds tracking XRP. Remarkably, XRP has attracted a staggering $584.6 million inflow during the first week, which started on the first week of November 2024, demonstrating growing bullish sentiment among investors.

XRP’s Growing Bullish Momentum

XRP gained momentum following positive sentiments around a potential pro-crypto US president in late 2024. This optimism, particularly among the XRP community, followed a possible end to the years-long regulatory disputes hindering the blockchain’s growth.

The XRPL native token has surged extensively since Donald Trump’s inauguration, hitting a December high of $3.3. This sentiment has increased investor sentiments, spurring the inflows into the investment funds tracking XRP.

Meanwhile, among other factors, its recent milestone is tied to its regulatory clarity, which could further boost this investor traction. For perspective, Ripple CEO Brad Garlinghouse announced that the SEC dropped its four-year lawsuit against Ripple, declaring XRP not a security.

Furthermore, XRP’s resilience in a turbulent market may have boosted users’ morale. The token has fared better than most top cryptocurrencies, such as Bitcoin, Ethereum, and Solana, which have faced significant losses.

Bitcoin’s $751M Outflow Leads Crypto Market Selloff

Digital asset investment products generally experienced their third consecutive outflow week, totaling $795 million. This brings the total outflows since early February to a record $7.2 billion, nearly erasing all year-to-date inflows.

The negative sentiment, fueled by recent tariff activity, was seen across countries and providers. Notably, the crypto investment products ended in an outflow despite a late-week price rebound, which saw Bitcoin surge above $83,000.

As expected, Bitcoin recorded the largest outflows, with $751 million withdrawn from ETFs and other investment vehicles last week. Nonetheless, it still maintains $545 million in year-to-date inflows.

Other assets, including Ethereum, Solana, Aave, and Sui, also experienced outflows, with Ethereum seeing $37.6 million and Solana $5.1 million. Interestingly, short Bitcoin positions also saw outflows of $4.6 million.

Meanwhile, despite the outflows, assets under management (AUM) rose 8% to $130 billion following a temporary reversal of tariff hikes.