SKN | Spot XRP ETFs Defy December Volatility, Extend Inflow Streak to 29 Days

Key Points

• Spot XRP ETFs extended their inflow streak to 29 consecutive days, reaching $1.15 billion in cumulative inflows.

• Bitcoin and ether ETFs saw heavy December outflows, highlighting a sharp divergence in institutional positioning.

• Analysts cite regulatory clarity and XRP’s differentiated payments use case as drivers of longer-term capital inflows.

Spot XRP exchange-traded funds (ETFs) in the United States are quietly carving out a rare pocket of resilience in an otherwise turbulent crypto market. Despite sharp swings in digital asset prices and persistent outflows from bitcoin and ether funds, XRP-linked ETFs have now posted 29 consecutive days of net inflows, underscoring a divergence in institutional positioning as 2025 draws to a close.

According to data compiled by SoSoValue, spot XRP ETFs attracted $8.44 million in net inflows on Monday, lifting cumulative inflows since launch to roughly $1.15 billion. Total net assets now stand near $1.24 billion, even as XRP itself traded in a choppy range and broader crypto markets struggled with year-end selling pressure.

XRP ETFs stand out amid broad ETF weakness

December has been a difficult month for most crypto-linked exchange-traded products. Spot bitcoin ETFs shed more than $1.1 billion in net outflows, while spot ether ETFs recorded roughly $612 million in withdrawals. Both asset classes experienced their sharpest single-day redemptions around mid-month, coinciding with heightened volatility and institutional portfolio rebalancing ahead of year-end.

Against that backdrop, XRP’s ability to sustain steady inflows has caught the attention of market participants. While daily additions have moderated from earlier December peaks — when inflows routinely topped $30–40 million per session — the consistency itself has become the signal. In total, XRP ETFs have drawn about $478 million during December, a stark contrast to the bleeding seen across competing products.

Regulatory clarity and positioning drive demand

Market observers point to a mix of structural and psychological factors behind XRP’s relative strength. Vincent Liu, chief investment officer at Kronos Research, said XRP ETF demand reflects “regulatory clarity and steady accumulation into a less crowded trade than BTC or ETH.”

Unlike bitcoin and ether, which dominate institutional crypto exposure, XRP offers differentiated positioning tied to cross-border settlement and payments infrastructure. For allocators seeking diversification within digital assets, that use case — combined with reduced regulatory uncertainty compared with earlier cycles — appears to be resonating.

“There’s a cohort of longer-horizon capital here,” Liu noted, suggesting investors are less focused on short-term price swings and more on XRP’s role within global payment rails.

December volatility reshapes institutional behavior

The contrasting ETF flows also highlight how institutions are behaving in a thinning liquidity environment. December is historically prone to lighter volumes, tax-related adjustments and defensive positioning. In that context, investors often reduce exposure to crowded or highly volatile trades, while selectively adding to positions perceived as underowned or structurally improving.

Data from Glassnode reinforces that caution. In a report last week, the firm said the 30-day moving average of net flows into U.S. spot bitcoin and ether ETFs has remained negative since early November, signaling subdued participation and a contraction in crypto market liquidity.

Still, analysts caution against reading too much into holiday-season flows. Liu described the bitcoin ETF outflows as typical “holiday positioning,” adding that institutional desks often re-engage in early January once liquidity normalizes.

Strategic implications heading into 2026

The persistence of XRP ETF inflows during a weak tape suggests a subtle shift in how institutions are approaching crypto exposure. Rather than broad, beta-driven allocations, capital appears increasingly selective, favoring assets with clearer narratives, differentiated use cases and less crowded positioning.

As markets move into 2026, the question will be whether XRP’s ETF momentum can persist once risk appetite returns more broadly — or whether bitcoin and ether reclaim dominance as macro conditions stabilize. For now, XRP’s steady inflow streak stands as one of December’s more notable anomalies, offering a glimpse into how institutional crypto strategies may be evolving.