XRP defies selloff as ETF inflows rise

TLDR

XRP (XRP) has been unusually resilient, holding near 1.40 while most major crypto assets sell off, supported by steady spot XRP ETF inflows.

1. XRP slipped only about 1 to 2 percent as many altcoins fell 5 to 12 percent, while its market share held near 3.14 percent during the latest volatility.
2. Spot XRP ETFs pulled in about 8.17 million USD on 8 October while Bitcoin, Ethereum and Solana funds saw roughly 320 million USD of net outflows that day.
3. ETF buyers are still around 13 percent underwater and ETF inflow momentum has slowed, so the key watchpoints are XRP support near 1.30 to 1.35 and whether ETF flows stay positive.

Deep Dive

1. XRPs Relative Strength

During a sharp market pullback where many altcoins dropped 5 to 12 percent, XRP traded in a tight 1.39 to 1.40 range and was down only about 1 to 2 percent, with market share near 3.14 percent. A market note highlighted that Bitcoin retested its October lows after a United States government wallet moved 17,733 BTC to Coinbase Prime, triggering over 1.0 billion USD in liquidations, yet XRP barely moved in comparison.

At the same time, XRP spot ETFs were the only major crypto ETF category with net inflows on 8 October, adding 8.17 million USD, while Bitcoin, Ethereum and Solana ETFs together lost about 319.99 million USD that day and 1.21 billion USD over 5 to 8 October. That divergence is documented in a report showing XRP beating Bitcoin, Ethereum and Solana in ETF flows.

2. ETF Flows And Holder Behavior

Since launch, spot XRP ETFs have attracted about 1.80 billion USD of cumulative inflows, but their XRP holdings were worth roughly 1.56 billion USD on 8 October, leaving ETF investors about 13 percent in the red. Yet flows data show only one small outflow day since mid September, and even during the recent dip to 1.32, Franklins XRPZ took in 8.17 million USD. This pattern is detailed in coverage of XRP ETF buyers staying invested despite losses.

On chain, Glassnodes exchange net position data show about 1.5 to 1.6 billion XRP net leaving exchanges over 30 days, implying that most holders have not rushed to deposit and sell into the drop. Combined, this suggests sticky demand from both ETF buyers and longer term holders, even if price has rolled over from its recent highs.

3. Key Levels And Risks To Watch

Despite the resilience headline, XRP is still roughly 60 percent below its all time high and has given back its post 2024 election rally, now trading near levels last seen in late 2024. Technical analyses flag support around 1.34 to 1.32, with deeper zones near 1.26 and, if the broader market weakens, even below 1.20. A sustained move back above roughly 1.45 to 1.50, and then 1.65 to 1.70, would be needed to break the series of lower highs highlighted in recent reports.

On the flow side, the balance is delicate. One article notes September XRP ETF inflows of about 121.4 million USD, versus an October pace that would annualize to closer to 17 million USD if it does not pick up, even though October remains net positive. If ETF inflows slow further or flip to persistent outflows at the same time as exchange deposits rise, XRPs relative strength could quickly fade.

Conclusion

XRPs ability to hold near 1.40 while much of the market sells off appears closely tied to continued, if moderating, inflows into new spot XRP ETFs and steady outflows from exchanges. That flow backdrop currently offsets broader risk off pressure, but it is not a guarantee of future strength. The key question from here is whether those institutional and long term holders remain patient if volatility persists, or whether a turn in ETF flows and exchange balances turns todays resilience into just another brief relative strength phase.