The institutional demand that had provided XRP with one of its strongest narratives this year has suddenly weakened, with US spot XRP exchange-traded funds attracting just $1.01 million in net inflows last week, a decline of roughly 93% from the previous week.
The funds had attracted $14.86 million during the preceding week, meaning approximately $13.85 million of weekly demand disappeared in just five trading sessions. The latest figure still represents a net inflow rather than an outright investor exodus, but it marks a significant deterioration in the pace of institutional accumulation.
The slowdown comes at an uncomfortable time for XRP. The token declined approximately 5% last week to around $1.03, while Bitcoin, Ether and Solana gained roughly 2% to 3%. XRP is now trading close to the psychologically important $1 level despite the broader crypto market showing signs of recovery.
ETF demand had previously provided an important counterweight to XRP’s weak price performance. With that support now fading sharply, investors are watching whether the slowdown is temporary or the beginning of a broader cooling in institutional interest.
ETF Assets Fall Below $1 Billion
The weakening flow picture has also been accompanied by declining assets under management. US spot XRP ETFs ended the latest period with approximately $964 million in net assets, down from levels above $1 billion earlier this year. The decline partly reflects XRP’s falling market price rather than redemptions alone, since the value of the tokens held by ETFs decreases alongside the underlying asset.
That distinction is important. XRP ETFs have still attracted substantial capital since launching in November 2025. By late May, cumulative net inflows had reached approximately $1.41 billion, while the funds held nearly 905 million XRP and managed roughly $1.12 billion in assets.
The products initially experienced one of the strongest launches among non-Bitcoin crypto ETFs. More than $666 million flowed into XRP ETFs during November 2025 alone, followed by another $499.91 million in December. Momentum weakened considerably in 2026, however, with January inflows falling to just $15.59 million before flows became increasingly volatile.
The latest $1.01 million weekly figure therefore represents a major departure from the aggressive accumulation seen during the products’ early months.
XRP Struggles While Broader Crypto Market Recovers
The timing of the slowdown is particularly notable because XRP is failing to participate in the broader cryptocurrency rebound.
Bitcoin, Ether and Solana all advanced last week, while XRP fell about 5%. Regulatory uncertainty remains one factor. Delays surrounding the CLARITY Act have weighed on expectations for a clearer US digital-asset framework, while XRP continues to face questions over whether institutional adoption can offset persistent token supply and weaker speculative demand.
The ETF data do not yet indicate that institutions are abandoning XRP. Weekly flows remained positive, extending the products’ recent run of net subscriptions rather than switching decisively into redemptions.
But the scale of those subscriptions has changed dramatically. A decline from $14.86 million to $1.01 million means the marginal institutional buying pressure provided by ETFs has almost disappeared at precisely the moment XRP is testing one of its most important price levels.
That creates a different market setup from earlier in the year. Previously, falling XRP prices were accompanied by continued ETF accumulation, allowing bulls to argue that regulated investment vehicles were absorbing supply during the drawdown. With weekly inflows now barely above zero, that cushion has become considerably thinner.
XRP ETFs have still accumulated more than $1 billion in capital since launch, meaning the long-term institutional adoption story remains intact. But the latest data introduce a clear warning signal: institutional demand is no longer accelerating.
For XRP, defending the $1 level may now depend on whether ETF flows recover—or whether demand elsewhere in the market can replace the institutional buying that has suddenly slowed to a trickle.
