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XRP Attracts Massive $1.2 Million Inflows Amid Bitcoin Exodus

source-logo  u.today 25 March 2024 15:56, UTC

XRP has garnered a massive $1.2 million in inflows, a move that contrasts sharply with the significant outflows Bitcoin experienced in the past week.

This trend highlights growing investor interest in alternative cryptocurrencies, or altcoins, as they seek to diversify their portfolios amid a backdrop of market uncertainty.

The recent inflow into XRP is not just a routine occurrence but a signal of a broader sentiment shift among cryptocurrency investors. While Bitcoin has seen outflows totaling $904 million, XRP has managed to attract $1.2 million, showcasing the altcoin's rising appeal.

According to CoinShares' most recent report, digital asset investment products had record weekly outflows of $942 million, the first such after a record seven-week run of inflows totaling $12.3 billion.

The recent price decline prompted investor reluctance, resulting in substantially smaller inflows into new ETF issuers in the United States, which witnessed $1.1 billion in inflows, somewhat offsetting incumbent Grayscale's significant $2 billion losses last week.

Bitcoin accounted for 96% of the flows, with $904 million in outflows, while short Bitcoin experienced small outflows totaling $3.7 million. Ethereum, Solana and Cardano also sustained losses, recording $34 million, $5.6 million and $3.7 million in outflows, respectively.

The departure of funds from Bitcoin and Ethereum, which collectively amounted to $976 million in outflows, has opened a window of opportunity for altcoins like XRP and Litecoin.

The rest of the altcoin space, including XRP, fared well, seeing net inflows of $16 million.

At the time of writing, XRP was up 0.92% in the last hour to $0.638. The XRP price has steadily ticked higher since Friday's drop to a low of $0.598.

XRP will mark its third consecutive day of gains if today closes in the green, having reached intraday highs of $0.6422 in today's trading session.