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Cryptocurrency News Articles
XRP Outperforms Bitcoin and Ethereum, Attracting $5.7 Million in Investment Despite SEC Case Uncertainty
Jan 07, 2025 at 12:57 am
XRP, Ripple's native cryptocurrency, saw more money flow than Bitcoin and Ethereum, which has sparked talks in the crypto community about a possible price increase for XRP.
Ripple's native cryptocurrency, XRP, experienced a significant capital inflow last week, outpacing both Bitcoin and Ethereum, according to the latest report from CoinShares.
This influx has sparked optimism among investors about a possible price increase for XRP, especially considering the coin’s impressive performance year-to-date.
The report highlights that XRP attracted a net $5.7 million in investment, while Bitcoin saw an outflow of $25 million and Ethereum saw a small net influx of $2 million. Solana also experienced a net outflow of $0.4 million.
Despite Bitcoin and Ethereum experiencing large inflows early in 2025, XRP's capital flow was more subdued during this period. However, XRP's price has been rising steadily, up around 3% at $2.45, although its trading volume fell by 12%.
To put things in perspective, Bitcoin led the way in 2024, attracting $38 billion in net inflows, which is 29% of the total assets under management. Meanwhile, Ethereum also had a good year, with inflows totaling $4.8 billion, more than double its 2021 total.
Overall, digital asset investments reached a record $44.2 billion in 2024, almost four times more than the previous record in 2021. However, even with last week's outflow, Bitcoin's total net inflows for the year stand at an impressive $38 billion.
The report also notes that the US played a major role in the surge of inflows last year, with US-based ETFs contributing $44.4 billion of the total.
This is likely due to the increased interest in digital assets from both retail and institutional investors, as well as the hope for a crypto-friendly regulatory environment in the US. Some experts are predicting a potential settlement in the Ripple-SEC case under the new SEC Chair, Paul Atkins, which could push XRP to new highs.
However, the current SEC Chair, Gary Gensler, may take action that could negatively impact XRP in the short term. Despite this, analysts remain bullish on its long-term prospects.
Disclaimer:info@kdj.com
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