XRP Decoupled: Institutional Investors Are Exiting Bitcoin

Last week, a total of $1.94 billion exited from digital asset funds, and the market began to show cautious signs of recovery. The total outflow over the past four weeks has reached $4.92 billion, marking the third-largest outflow series since 2018. However, a small inflow of $258 million on the last trading day of the week indicated a limited turnaround in investor sentiment.

Bitcoin was at the center of last week's outflows. There was an outflow of $1.27 billion from the asset, while the $225 million inflow on Friday drew attention. On the other hand, Short Bitcoin products saw a total inflow of $40 million over the past three weeks, and the total assets of these products increased by 119% compared to the previous period. This indicates that investors are still seeking protection.

Ethereum also had a tough week. Due to heavy selling, an outflow of $589 million occurred, which corresponds to 7.3% of the assets. However, the $57.5 million inflow on Friday provided a limited impression of recovery. On the altcoin side, Solana ended the week with an outflow of $156 million, while XRP, contrary to expectations, received an inflow of $89.3 million, showing a positive divergence.

The magnitude of the total outflows recorded over the past four weeks reveals that the pressure on the market has been ongoing for a long time. However, the total amount that has entered funds since the beginning of the year, which is $44.4 billion, indicates that investor appetite has not completely disappeared in 2025.

The strong inflow shown by XRP in a period when the market is risk averse is believed to indicate a renewed institutional interest, especially as regulatory uncertainties decrease. This picture shows that investors are selectively taking positions despite the selling pressure in the market.