XRP (XRP) attracted steady investment flows, with its price holding near $1.37 as of 06:10 UTC on May 22, while market leaders Bitcoin (BTC) and Ether (ETH) struggled to maintain momentum, fueling speculation of a capital rotation into large-cap altcoins.
Data shows a clear divergence in fund flows, with XRP-linked exchange-traded products accumulating $1.39 billion since their launch in November 2025, according to figures cited by 247wallst.com. This institutional demand suggests investors are allocating to XRP for its utility and regulatory clarity, even as its price performance has lagged.
The steady inflows into XRP products contrast with a more sluggish environment for the broader crypto market. Bitcoin hovered around $77,400, and Ether remained below key resistance levels. The inflows, including a notable $25.8 million single-day influx on May 11, underscore a persistent institutional appetite for XRP exposure through regulated vehicles.
This growing institutional footprint comes as the token’s underlying fundamentals strengthen, yet its price remains over 60% below its July 2025 peak of $3.65. The gap between real-world usage on the XRP Ledger—where tokenized real-world assets have surpassed $3 billion—and the token's valuation is becoming a central theme for investors weighing its long-term potential.
Despite the lagging price, the XRP Ledger is seeing expanding use. Daily transactions hit three million on March 15, 2026, a threefold increase from mid-2025 averages, driven by growth in its automated market maker pools and settlement flows. This on-chain activity, however, has not translated into a sustained price rally, with XRP repeatedly failing to hold above the $1.50 resistance level this year.
The dynamic suggests that while past catalysts like Ripple’s legal victory over the SEC and the initial ETF approvals have been priced in, the market is now waiting for execution and large-scale adoption to drive the next leg up. Ripple is actively pursuing this, with a reported $1.25 billion acquisition of prime brokerage firm Hidden Road and a partnership with Project Eleven to make the XRP Ledger quantum-resistant.
The comparison with other altcoin ETFs is telling. While Solana (SOL) ETFs have also seen success, accumulating $1.12 billion, XRP’s lead in total inflows points to a different investment thesis. Analysts suggest XRP’s appeal is tied to its role in payments and its clearer regulatory standing in the U.S., attracting a more stability-focused institutional cohort. In contrast, Solana is often viewed as a higher-beta play on network growth and developer momentum.
JPMorgan has forecast that XRP ETFs could attract between $4 billion and $8.4 billion in their first year, signaling that the current inflow trend may be in its early stages. As the market matures, the resilience of these flows will be a key test for whether XRP can finally close the gap between its on-chain fundamentals and its market price.
This article is for informational purposes only and does not constitute investment advice.
