XRP ETFs Surge as Bitcoin and Ethereum Bleed Institutional Capital

XRP spot ETFs have been attracting institutional capital during the recent selloff in cryptocurrencies. In contrast, Bitcoin and Ethereum ETFs posted significant outflows.

U.S. spot XRP ETFs recorded inflows of $1.55 million on September 8, $12.29 million on September 9, and $5.14 million on September 10, extending their streak to three consecutive positive sessions according to SoSoValue. With Friday's data still pending, XRP ETFs are on track to close their ninth consecutive week of positive inflows.

Bitcoin ETFs, on the other hand, posted outflows totaling $449.45 million in just three days, with $282.56 million flowing out on Wednesday alone. Ethereum ETFs also saw a significant outflow of $29.76 million on September 10, leaving XRP as the only major crypto ETF category attracting fresh institutional capital.

An analyst pointed out that XRP's low correlation to Bitcoin is one reason for its success in attracting investors. WisdomTree data confirms XRP holds the lowest correlation of any major crypto asset, with a correlation of just 0.35 to Bitcoin. This characteristic allows XRP to decouple from Bitcoin and makes it more attractive to institutional investors.