XRP-linked investment funds are pulling in fresh money this month, even as products tied to Bitcoin and Ether see outflows or slower demand. The divergence signals that some traders are trimming their exposure to the two largest crypto assets in favor of XRP — a shift visible not just in fund flows but also in a sudden jump in newly created XRP wallets.
XRP fund inflows pick up pace
Data tracked by multiple providers shows that XRP-focused funds have logged net inflows for several consecutive weeks, a pattern that contrasts sharply with the broader market. The exact amounts vary by fund, but the direction is consistent: money is moving in. This comes after a long stretch where XRP products often lagged behind those of Bitcoin and Ether.
New wallet addresses surge
The on-chain side of the story is just as striking. The number of new XRP addresses created daily has spiked to levels not seen since the rally earlier this year. It's a concrete signal that fresh participants — or existing ones opening fresh wallets — are entering the XRP ecosystem. That kind of organic growth in address creation often precedes increased transaction activity.
Bitcoin and ether funds struggle
While XRP funds are gaining, the picture for Bitcoin and Ether is less rosy. Both have seen net outflows from spot and futures-based products in recent weeks. Reduced inflows, and in some cases outright withdrawals, suggest that institutional appetite for the two largest cryptocurrencies has cooled. Some of that capital may be rotating directly into XRP products, though the scale is unclear.
What's driving the rotation
The facts don't point to a single trigger for the shift. Regulatory news, market sentiment, or relative valuations could all play a part. What's clear is that traders are acting on a conviction that XRP has more near-term upside than Bitcoin or Ether — at least for now. The wallet data and fund flows are two independent data sets telling the same story.
Whether this rotation has legs depends on whether the inflows sustain and whether Bitcoin and Ether can regain their footing. For now, the market is watching the XRP side closely.
