Bitwise CIO: XRP ETF Saw Faster Institutional Demand Than Ethereum ETF
Bitwise CIO Matt Hougan said Bitwise’s newly launched XRP ETF received stronger early institutional demand than Ethereum ETFs did at launch. Hougan noted rapid inflows into XRP products during a weak market, citing Canary Capital’s XRP ETF reaching $58 million in first-day trading and combined assets under management (AUM) surpassing $1 billion with 30+ days of net inflows. He described XRP as a "simple story" familiar to many investors and suggested sustained, long-term demand. Crypto commentator X Finance Bull highlighted the contrast between institutional participation and cautious retail, arguing that price weakness masks institutional positioning. The article links recent whale activity and ETF flows as evidence of growing institutional exposure to XRP. Disclaimer: this is informational and not financial advice.
Bullish
Hougan’s comments and the cited figures point to significant institutional demand for XRP ETFs: $58M first-day volume for Canary Capital’s ETF and combined AUM above $1B with over 30 days of net inflows. Institutional inflows during a market downturn historically indicate durable capital rather than short-term speculation, which tends to support price floors and reduce volatility over time. The article also notes whale activity, reinforcing the thesis of larger players accumulating. In the short term, expect increased buying pressure on XRP and related markets as ETF flows and whale moves can tighten supply on exchanges and lift prices. Volatility may spike on headlines and large transfers, tempting momentum traders. In the medium to long term, persistent institutional AUM growth and steady inflows could underpin a bullish structural shift for XRP — similar to other assets where ETF adoption preceded multi-month rallies (e.g., spot Bitcoin ETF inflows contributing to higher BTC prices in 2021–2023). Risks remain: retail sentiment is subdued, regulatory developments or reversal of inflows could trigger swift downside. Overall, the net effect implied by the information is bullish for XRP but conditioned on continued institutional support and absence of adverse regulatory/news shocks.