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U.S. spot XRP exchange-traded funds recorded their first day of net outflows since launch this week, ending a 36-day stretch of uninterrupted inflows and raising questions about timing rather than long-term demand.
Data from SoSoValue shows that the five listed XRP products posted a combined net outflow of $40.8 million on Wednesday, January 7, marking the first negative daily print since trading began in mid-November.
One ETF Drove the Outflows as the Rest Held Steady
The reversal was driven almost entirely by one product, as the 21Shares XRP ETF, TOXR, saw $47.25 million exit the fund in a single session, equivalent to roughly 21.66 million XRP.
That move pushed its cumulative flows into negative territory at minus $8.18 million, although the product still holds nearly $258 million in net assets.
Other XRP ETFs moved in the opposite direction, with Canary’s XRPC, Bitwise’s XRP fund, and Grayscale’s GXRP each recording modest daily inflows of around $2 million, while Franklin’s XRPZ was flat on the day.
Despite the headline outflow, the broader picture remains intact since launch; XRP ETFs have attracted roughly $1.20 billion in cumulative net inflows and now hold about $1.53 billion in total net assets.
That represents around 1.16% of XRP’s total market capitalization. Trading activity across the products reached $33.74 million on the day, broadly in line with recent averages.
The timing of the outflows appears closely linked to broader market conditions rather than XRP-specific weakness.
XRP’s price fell about 6.4% over the past 24 hours to around $2.10, pulling back from a recent high near $2.25. The move came alongside a sharp drop in trading volume, which fell more than 30% day over day to $4.14 billion, pointing to reduced short-term participation rather than panic selling.
More importantly, XRP ETFs were not alone, with Bitcoin and Ethereum ETFs also recording significant outflows on the same day. Spot Bitcoin funds saw $486 million leave, extending a two-day drawdown that has now exceeded $700 million.
Ethereum ETFs posted their first net outflow day of 2026, losing $98.5 million after starting the year with strong inflows. The synchronized nature of the moves suggests portfolio-level repositioning rather than a sudden loss of confidence in XRP products.
XRP ETFs Slow in January, On-Chain Data Points to Stability
The structure of the ETF flows also matters, as November and December accounted for the bulk of that growth, with nearly $1.17 billion added during those two months.
In January, inflows slowed but remained positive overall, even after this week’s outflow, as by the week ending January 7, XRP ETFs had still added $24.4 million on a net basis.
On-chain data adds further context, with CryptoQuant data showing that whale flows of XRP to Binance have declined steadily since peaking in mid-December.
While whales still account for a majority of exchange flows, their share has fallen from above 70% late last year to about 60%.
Retail behavior has remained relatively stable, with no sign of a broad panic exit.
At the same time, Santiment data points to a surge in large XRP transactions, with transfers above $100,000 hitting a three-month high earlier this week, a sign of heightened positioning rather than a clear directional bet.
Together, the data points to a market digesting gains rather than breaking down. XRP remains up more than 13% over the past seven days and nearly 10% year over year.
The ETF outflows appear to reflect short-term profit-taking, broader ETF rebalancing, and softer volumes across crypto markets, rather than a structural reversal in demand.
