Rising Above The Ashes: XRP ETFs Set New Record Despite Market Crash

Overview

XRP ETFs have shown surprising resilience amid a recent market downturn, achieving record trading volumes and attracting new inflows despite significant outflows just a day prior. This development is noteworthy given the ongoing decline in XRP’s price and the overall bearish trend in the broader cryptocurrency market.

XRP ETFs Defy Trends and Hit Record Volume

XRP has recently garnered attention as its ETFs experienced an unexpected influx of investment following a substantial outflow. On January 29, 2026, XRP ETFs recorded a remarkable $92.9 million outflow, marking the largest decrease since the ETFs’ inception on November 13, 2025. This was the third outflow of the XRP ETFs, with the first two being significantly smaller in comparison.

The outflow was primarily driven by Grayscale’s GXRP, which alone accounted for a notable $98.39 million withdrawal. However, this was somewhat mitigated by inflows into other ETFs, including Franklin Templeton’s XRPZ, Bitwise’s XRP ETF, and Canary’s XRPC. As a result of this outflow, the total net assets of XRP ETFs fell from $1.39 billion to $1.21 billion. This decline in assets coincided with a drop in XRP’s price, which fell from $1.92 to $1.80 within a 24-hour period.

Unexpectedly, the following day saw XRP ETFs rebound, recording a daily net inflow of $16.79 million, although total net assets still experienced a slight decline, dropping to $1.19 billion. Remarkably, XRP ETFs achieved record trading volumes despite the prevailing market downtrend, with cumulative trading volume increasing to $2.23 billion from $2.15 billion just a day after the significant outflow. Among the XRP ETFs, Bitwise’s offering had the highest trading volume, followed by Grayscale’s GXRP, Franklin Templeton’s XRPZ, Canary’s XRPC, and 21Shares TOXR.

In terms of total Assets Under Management (AUM), XRP ETFs declined slightly, falling from $1.48 billion to $1.32 billion after the January 29 outflow.

XRP Price Continues Slide Amid Market Uncertainty

While XRP ETFs are recovering from recent outflows, the cryptocurrency itself continues to face downward pressure. As reported by CoinMarketCap, XRP’s price has declined by more than 11% over the past week and has seen a drop of over 3% in the last 24 hours. Currently, the price stands around $1.69, reflecting a more than 15% decrease from the $2 level observed just a few weeks prior.

In conjunction with this price decline, XRP’s daily trading volume has also fallen by over 26.6%, suggesting a potential decrease in trader confidence amid growing market uncertainty. This sentiment is further supported by XRP’s Fear and Greed Index, which has shifted into the “Fear” zone. The broader cryptocurrency market mirrors this trend, with the index indicating extreme fear among investors across major digital assets.

From author

The contrasting trends observed in XRP ETFs and the cryptocurrency’s price highlight the complexities of market dynamics. While investor demand for XRP ETFs appears robust, the underlying asset continues to struggle amidst broader market challenges. It will be interesting to see how these factors evolve in the coming weeks.

Impact on the crypto market

• XRP ETFs achieved record trading volumes despite a recent outflow, indicating strong investor interest.
• The substantial $92.9 million outflow was primarily driven by Grayscale’s GXRP, reflecting investor behavior in response to market conditions.
• A daily net inflow of $16.79 million the day after the outflow suggests a possible recovery in investor confidence in XRP ETFs.
• XRP’s price continues to decline, indicating broader market uncertainty and potential bearish sentiment among traders.
• The Fear and Greed Index’s shift into the “Fear” zone reflects growing caution among investors in the cryptocurrency space.