Main Points:
- ETP Inflow Comparison: Between March 17 and 21, funds flowing into XRP ETPs reached approximately $6.71 million—surpassing Solana’s $6.44 million—and outpaced inflows into Ethereum ETPs, demonstrating robust investor interest in XRP.
- Spot ETF Developments: Major firms including Grayscale, Bitwise, and 21Shares have filed for XRP spot ETFs with the SEC, with an estimated approval probability of around 65%, further indicating growing mainstream acceptance.
- Ripple’s Legal Resolution: Ripple CEO Brad Garlinghouse announced on March 19 that the SEC lawsuit against Ripple Labs has officially ended, bolstering confidence in XRP.
- Institutional Holdings: A recent survey by Coinbase and EY Parthenon revealed that 34% of institutional investors hold XRP, outpacing holdings in Solana (30%), Dogecoin (25%), and Chainlink (12%), with 68% of respondents likely to purchase single-asset ETPs for altcoins like XRP and SOL.
Introduction
Recent data from CoinShares shows that during the week of March 17–21, XRP-based exchange-traded products (ETPs) experienced inflows of around $6.71 million, slightly outpacing Solana’s $6.44 million. This marks a notable trend as XRP’s ETP inflows have exceeded those for Ethereum and Solana during the same period, highlighting a surge in investor interest. These developments come on the heels of significant regulatory progress, with Ripple Labs’ SEC lawsuit coming to an official end on March 19, and increased institutional attention toward XRP.
1. ETP Inflows and Market Sentiment
Rising Funds Flow into XRP
- Comparative Inflows: Data reveals that XRP ETPs attracted approximately $6.71 million in inflows, surpassing Solana’s $6.44 million.
- Investor Optimism: These inflows suggest that investors are increasingly viewing XRP as an attractive asset, possibly due to its potential in cross-border payments and its enhanced market positioning following regulatory developments.
Increased ETF Activity
- Spot ETF Filings: Prominent firms like Grayscale, Bitwise, and 21Shares have submitted applications to the SEC for XRP spot ETFs, with some estimates putting the approval probability at about 65%. This progress may pave the way for greater institutional participation in XRP.
2. Ripple’s Regulatory and Institutional Milestones
Legal Breakthrough
- SEC Lawsuit Resolution: On March 19, Ripple CEO Brad Garlinghouse confirmed via Twitter that the longstanding SEC lawsuit against Ripple Labs has officially ended. This development has had a positive impact on XRP’s market sentiment, reinforcing investor confidence.
Institutional Interest
- Survey Insights: Research by Coinbase and EY Parthenon indicates that 73% of institutional investors hold cryptocurrencies beyond Bitcoin and Ethereum, with XRP being the most popular among them at 34%, compared to Solana at 30%, Dogecoin at 25%, and Chainlink at 12%.
- ETP Purchase Likelihood: Additionally, 68% of investors expressed a willingness to purchase single-asset ETPs for altcoins such as XRP and Solana, suggesting robust future demand.
The strong inflows into XRP-based ETPs, coupled with the recent legal resolution and growing institutional adoption, signal a bright future for XRP. With applications for spot ETFs underway and heightened investor interest reflected in fund flows, XRP is poised to emerge as a key asset in the digital economy. Investors should closely monitor these trends as they may herald further mainstream acceptance and significant price appreciation for XRP over the coming years.
