XRP Institutional Bid Stands Strong Amid Retail Leverage-Driven Pullback
XRP's price surge has been marked by two distinct tracks - one driven by institutional investment and another fueled by retail leverage. The token saw a 56% increase between August 18 and 22, reaching $1.6963 before pulling back to $1.40 due to the sell-off of Bitcoin.
The recent decline was characterized as a 'leverage-driven unwind' rather than a fundamental shift in sentiment, with analysts attributing it to the digestion of gains rather than a loss of confidence.
Despite this pullback, institutional investment remains strong, with cumulative net inflows into US spot XRP ETFs reaching an all-time high of $1.55 billion on Monday. Bitwise led the pack at $542.69 million, followed by Canary Capital at $468.12 million and Franklin Templeton at $434.16 million.
The institutional conviction is evident in regulatory filings, with Goldman Sachs disclosing an exposure of roughly $86.5 million across five spot XRP ETF products and Wells Fargo reporting a $9.18 million position.