Canary Capital CEO Steven McClurg revealed that investors are pouring capital into XRP ETFs even on days when Bitcoin and Ethereum funds observed strong outflows.
Indeed, XRP ETFs continue to attract steady inflows despite broader market weakness and persistent outflows from Bitcoin and Ethereum ETFs. This signals a change in investor preference.
XRP is rapidly emerging as the primary beneficiary of capital rotation in the crypto ETF market. McClurg stressed that XRP-linked products have drawn fresh capital, even during periods of sharp market declines.
Specifically, McClurg revealed that XRP now captures about 50% of fresh inflows into altcoin ETFs. This figure significantly outpaces Solana and Hedera, which account for roughly 30% and 20%, respectively.
However, Bitcoin and Ethereum ETFs have faced persistent selling pressure over the past few months. The sustained accumulation highlights XRP’s growing appeal among investors seeking alternatives to Bitcoin and Ethereum amid volatility and uncertainty that weigh on overall market sentiment.
Notably, McClurg stressed that XRP ETFs have attracted fresh capital even during sharp market sell-offs. On several of the worst trading days this year, when Bitcoin ETFs recorded heavy outflows, XRP funds still posted net inflows.
For perspective, when Canary Capital launched the first spot XRP ETF in mid-November, the product and similar offerings from other asset managers recorded consistent inflows until January 7, 2026, when they saw their first outflows.
During the same period, Bitcoin and Ethereum ETFs experienced sustained redemptions, with only brief intervals of positive flows. So far this month, XRP has recorded just three negative flow days. Meanwhile, Bitcoin ETFs have seen outflows on nine separate sessions, according to SoSoValue. This divergence underscores XRP’s relative strength.
This rotation is also visible in crypto investment product flows. Last week, Bitcoin and Ethereum investment products recorded combined outflows of $250 million, while XRP defied the broader trend, attracting a modest $3.5 million inflow.
The trend highlights a strategic reallocation of capital toward altcoins with strong utility. XRP’s growing dominance in ETF inflows reflects rising confidence among both institutional and retail investors.
Although XRP ETFs have outperformed Bitcoin on most trading days in terms of positive flows, their cumulative net inflow only stands at $1.24 billion, with total AUM at $1.06 billion.
Among XRP investment products, the Canary XRP ETF (XRPC) leads the market with $280.38 million in net assets. It narrowly edged out Bitwise’s XRP ETF (XRP), which holds $278.22 million.
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