XRP ETFs Draw $35 Million as Bitcoin and Ether Shed Billions
By John Nada·May 30, 2026·4 min read
XRP ETFs gained $35 million in late May while Bitcoin and Ether shed nearly $2 billion, marking a striking market divergence.
XRP-focused ETFs raked in $35 million in late May, while Bitcoin and Ether ETFs hemorrhaged nearly $2 billion combined.
It's a striking divergence. From May 20 to May 29, XRP funds witnessed significant inflows, notably $11.88 million on May 29 alone, according to data from SoSoValue. In contrast, Bitcoin ETFs faced a 10-day streak of redemptions, losing over $1.70 billion in the same period, while Ether ETFs dropped another $309 million. Ripple's treasurer plan hangs in the balance, adding another layer of intrigue.
U.S.-listed spot XRP ETFs are bucking the trend, with Bitwise's product leading the pack, attracting $7.36 million on a single day. Canary’s XRPC and Franklin’s XRPZ also added millions, showing a distinct appetite for XRP exposure when other major cryptocurrencies are losing their sheen. Total net assets in the U.S. XRP ETF category have climbed to $1.12 billion, merely a fraction of the $94 billion sitting in Bitcoin ETFs, yet the momentum is undeniable.
This isn't just about numbers; it's about market sentiment. Bitcoin and Ethereum's recent performance has been marked by cooling institutional interest and volatile price swings, whereas XRP is gaining traction with a clear policy and product narrative. The market is watching the U.S. market-structure legislation closely, alongside the adoption of XRP ETFs. While Bitcoin and Ether funds are seeing redemptions, XRP seems to be carving out a niche.
Ripple's potential $1 billion treasury plan, first reported by Bloomberg in October 2025, remains a wild card. If Ripple proceeds with the SPAC to create a digital asset treasury vehicle, it could signify a monumental shift, especially if the company decides to leverage its own XRP. CoinDesk reached out to Ripple for updates, but the path forward is still shrouded in uncertainty.
The split in fund flows reflects two demand channels—retail and institutional interest in ETFs and potential treasury accumulation of XRP. This dynamic is evolving in the backdrop of a broader crypto market experiencing a divergence from traditional assets like the S&P 500 and Brent oil, which are on a rallying streak.
Spot Bitcoin ETFs Face Record $2.97 Billion Outflow in 10 Days
Bitcoin ETFs see a 10-day outflow streak, shedding $2.
XRP funds have not only shown resilience but also a consistent pattern of growth. The $11.88 million net inflow on May 29 extended a week of positive flows for XRP, contrasting sharply with the draining of capital from Bitcoin and Ether ETFs. XRP's performance in the ETF space is underscored by its ability to maintain momentum even as other cryptocurrencies falter, highlighting a distinct market interest in XRP's potential.
The divergence in fund flows is not merely a reflection of market sentiment but also an indication of strategic shifts. The increasing inflows into XRP ETFs suggest that investors are seeking alternatives to Bitcoin and Ether, possibly due to XRP’s more defined regulatory stance and product clarity. The anticipation surrounding U.S. market-structure legislation is also pivotal, as it could further influence institutional interest in XRP.
The dynamics of the crypto market are further complicated by Ripple's unresolved treasury plan. The proposed $1 billion treasury raise via a SPAC could significantly alter the landscape if it proceeds, offering Ripple a substantial war chest to potentially enhance its market position. This plan, if actualized, could also reinforce XRP's standing by bolstering its liquidity and institutional appeal, driving further ETF inflows.
The context of XRP's growth must be considered alongside the broader market movements. While XRP ETFs are gaining traction, major cryptocurrencies like Bitcoin and Ether are lagging behind traditional market rallies. The S&P 500's longest weekly winning streak since 2023 and Brent oil's stability near $92 per barrel amid geopolitical developments contrast with the cooling interest in major crypto tokens.
As digital asset treasury companies gain prominence, XRP's growing ETF market presence could signal a shift in how digital assets are perceived and utilized by institutional investors. The strategic pivot towards XRP ETFs might not only challenge the dominance of Bitcoin and Ether but could also redefine digital asset allocations within institutional portfolios.
This nuanced ETF landscape, characterized by XRP's ascent amid Bitcoin and Ether's decline, reflects a market in flux. The evolving narratives around regulatory clarity, market structure, and institutional interest continue to shape the trajectory of digital assets. XRP's current momentum could herald broader changes in how cryptocurrencies are integrated into mainstream financial systems, potentially reshaping investor strategies and market dynamics.