Crypto investment products saw a major comeback last week, with $1.07 billion flowing in, led by XRP, following a month of heavy withdrawals.
Investors are growing more confident that the U.S. may soon cut interest rates, after remarks from FOMC member John Williams regarding the current restrictive monetary policy.
This inflow reverses the trend of the past four weeks, which saw $5.7 billion leave digital asset ETPs. Even during the quieter Thanksgiving week, when trading volumes dropped from $56 billion to $24 billion, inflows returned across major markets.
XRP Posts Its Largest Weekly Inflows Ever
Interestingly, XRP led the market with its largest weekly inflow on record, attracting $289 million. CoinShares noted that XRP’s six-week streak of inflows now equals 29% of its total assets under management.
Notably, the surge is fueled by momentum from the newly launched U.S. spot XRP ETFs from Canary Capital, Grayscale, Bitwise, and Franklin Templeton. Additionally, 21Shares is joining the trend this week, with its AUM now exceeding $680 million.
This ongoing performance places XRP ahead of several other major altcoins. It confirms strong institutional demand for the fourth-largest crypto asset.
Bitcoin and Ethereum Also See Strong Demand
Meanwhile, Bitcoin recorded $461 million in new inflows as investors reversed bearish positions. Short-Bitcoin products, which profit when BTC falls, saw $1.9 million in outflows, indicating that traders are stepping away from bets on further price declines.
Ethereum followed a similar upward trend with $308 million in inflows, reflecting renewed investor appetite after weeks of weakness.
Flows by Region
As usual, the United States led global inflows with $994 million, even during a holiday-shortened trading week. Other notable markets included Canada with $97.6 million in inflows and Switzerland with $23.6 million in new investment. Germany stood out as one of the few regions posting outflows, losing $57.3 million.
Cardano Suffers Heavy Outflows
While XRP surged, not all altcoins enjoyed the same institutional enthusiasm. Cardano (ADA) saw significant outflows of $19.3 million, equal to 23% of its assets under management. Other altcoins showed mixed results.
Overall, the data suggests that investors are positioning early for a potential Federal Reserve policy shift. With expectations rising for a December rate cut, institutional money is flowing back into digital assets, and XRP, in particular, is one of the primary beneficiaries.
DisClamier: This content is informational and should not be considered financial advice. The views expressed in this article may include the author's personal opinions and do not reflect The Crypto Basic opinion. Readers are encouraged to do thorough research before making any investment decisions. The Crypto Basic is not responsible for any financial losses.
