Expert Says Ignore XRP in 2026 at Your Own Peril, Here’s Why

• Institutional fund flows highlight XRP as capital shifts away from Bitcoin
• ETF related accumulation is quietly reducing XRP’s available circulating supply
• Payment utility positions XRP ahead of infrastructure and regulatory developments

Shifts in digital asset capital flows are beginning to place XRP at the center of institutional attention. In a recent post on X, market analyst X Finance Bull argues that those who continue ignoring XRP do so at their own risk.

In his post, he backed his points by analyzing the current state of the ETF market, particularly comparing Bitcoin, Ethereum, and XRP. The analyst highlighted that Bitcoin ETFs recorded outflows of $3.48B in November and $1.09B in December, while Ethereum ETFs posted losses of $1.42B in November and $616M in December.

However, XRP moved in the opposite direction during the same period, recording inflows of $666M in November and $499M in December without sustained daily outflows. These figures suggest a divergence in institutional behavior across major digital assets.

Market observers often interpret such patterns as early indicators of strategic positioning. Notably, the expert stressed that this activity does not resemble retail-driven trading. The scale and consistency of the inflows point toward long-term capital deployment.

Also Read: Massive XRP January Rally Confirmed? This Bullish Historical Pattern Just Repeated

ETF Activity Signals a Different Market Structure

Exchange-traded product developments have emerged as a key factor shaping XRP’s recent momentum. XRP is now being viewed through a different structural lens than Bitcoin and Ethereum offerings. According to X Finance Bull, XRP-related ETFs interact more directly with the circulating supply. This dynamic has led to a measurable portion of available tokens being locked.

Data referenced by the analyst indicates that roughly 0.58% of XRP’s circulating supply is already absorbed. Consequently, available liquidity tightens as institutional demand persists. Reduced supply can influence pricing behavior under steady demand conditions. Institutional investors typically monitor such metrics when evaluating asset exposure.

Utility Focus Drives Institutional Interest

Beyond investment structure, XRP’s design plays a role in its positioning. Unlike assets viewed primarily as stores of value, XRP operates as a payment-focused network. Traditional cross-border transfers often involve high fees and multi-day settlement delays. X Finance Bull stressed that XRP’s infrastructure addresses these inefficiencies through rapid settlement and low transaction costs.

According to X Finance Bull, this operational focus aligns with institutional requirements for scalable payment rails. Financial institutions continue to explore alternatives to legacy wire systems. Efficiency-based adoption tends to accelerate once cost and speed advantages become clear. Capital flows often move ahead of formal adoption announcements.

Market participants tracking institutional behavior continue to monitor XRP closely. Capital allocation trends suggest growing relevance within evolving financial infrastructure. XRP’s recent divergence from broader market trends has not gone unnoticed. Flow data remains a critical indicator as institutions position themselves for future developments.

Also Read: Analyst Says XRP to $100 Will Happen 100%, Here’s Why

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