
**XRP Beats Bitcoin: A Closer Look**
The cryptocurrency market is witnessing a significant shift in institutional flows, with XRP emerging as the top performer, outperforming Bitcoin in terms of inflows. Last week, XRP saw an astonishing $189 million in inflows, surpassing its competitor, Bitcoin, which experienced $175 million in outflows.
This unexpected trend has sparked curiosity and concern among investors, particularly since the decentralized finance (DeFi) space is showing signs of fatigue. In contrast to XRP’s remarkable performance, institutional investors are shying away from investing in Bitcoin, indicating a change in sentiment.
The recent development can be attributed to capital rotation and the growing desire for alternatives. The surge in inflows comes as cryptocurrency funds saw an astonishing $19 billion in investments, with July already breaking records with a month-to-date total of $11.2 billion. This shift indicates a dramatic change in institutional sentiment, eclipsing even the post-election inflow wave seen in December 2024.
Regional flows were particularly noteworthy, with the United States leading the way at $2.03 billion, while Canada and Asia exhibited significant outflows. Germany and Switzerland also made considerable contributions, highlighting European institutions’ strong interest.
In contrast to Bitcoin’s decline, XRP is gaining traction due to its potential for institutional investment. With a lower market capitalization and historically low exposure to ETFs, this surge suggests that investors are becoming more confident in the altcoin’s reliability as an alternative investment opportunity.
As the approval of an Ethereum ETF looms on the horizon, it remains uncertain whether this divergence will continue or Bitcoin will regain its position atop the institutional hierarchy.
Source: u.today