The XRP ETF breaks inflow and has seen a rise in assets, with the Teucrium 2x Long Daily XRP ETF (XXRP) now holding over $106 million since April. In the past week, it made its highest weekly gain of $30.4 million.
Investors’ confidence is reflected by the steady stream of money that has gone into the fund every week. As XRP’s price rises and falls, people still believe in the asset for the long term.
Key-Takeaways:
- The XRP ETF is attracting a lot of money, holding over $106 million in assets and getting a weekly inflow of $30.4 million.
- A record 115% increase as XRP ETF breaks inflow into XXRP indicates people are keen on regulated XRP products and feel positive about approval ahead.
Bringing in More Capital Than Other Crypto ETFs
According to statistics by ETF.com, the arrival of money last week was $14.1 million. The new weekly capital represents a 115% increase compared to last week’s figure. Since the XRP ETF goes against previous trends of other crypto-related ETFs, it is notable in the crypto ETF market. It provides better results than a lot of other start-up digital asset funds.
The XRP ETF breaks inflow record for assets, while spot Ethereum ETFs have only brought in $2.5 billion since last September. In the two months before XXRP, the 2X Solana ETF (SOLT) only gathered $30 million of assets.
It is clear from this graph that the XRP ETF is greatly reducing the usual trend of inflows. It achieves a significant level in terms of crypto exchange-traded funds that have launched recently.
The outstanding achievement provides strong evidence of JPMorgan’s predictions which said the combined ETFs would draw in around $15 billion in their opening year. The community believed that XRP would attract more of the capital.
Because the XRP ETF breaks inflow more than expected, this shows that Wall Street is optimistic. Analysts believe that virtual currency funds investing in XRP tend to do better than others.
The high level of interest in the market suggests that people want regulated XRP investment products. Traditional types of XRP exposure are becoming popular among investors.
Whenever the XRP ETF breaks inflow records, it makes XRP appear more trustworthy as an altcoin. This points to a growing number of mainstream investors taking an interest.
Leveraging Gives Investors an Opportunity to Earn More
While previously-approved spot XRP ETFs are not leveraged, the Teucrium ETF aims for returns of 2 times the daily gains of XRP. There is interest from investors who are looking for a chance to make more money, yet have to accept a higher risk.
More money flowing into the XRP ETF is causing buyers to take interest in an option that magnifies both profits and losses. A recent 1.5% drop in XRP caused the ETF’s price to drop by 3% due to the leverage effect.
Because it is an average-cost fund, this XRP ETF has a much higher expense ratio than the low fees that are predicted for future spot XRP ETFs. Nonetheless, every time the XRP ETF breaks inflow record, it confirms that investors do not mind the higher expense if it provides lasting results.
The results from performing the strategy are in line with its strategy. Compared to XRP, XXRP has increased by 58% off its launch, while XRP has barely managed to rise 15%.
The reason the XRP ETF draws more money than expected is that it gives investors the big returns they want. Attention should also be given to traditional markets, as ProShares UltraPro QQQ ETF increased 270% more than the Nasdaq 100 which gained 130% over five years.
Even while the number of money is higher than ever as the XRP ETF breaks inflow, people are mostly focused on updates from regulators. A decision regarding Franklin Templeton’s spot XRP ETF will be made in June.
There are also those who believe that a delay is likely. If approved, XRP might play an even bigger part in traditional finance.
Based on the timeline, spot XRP ETFs by Franklin Templeton, Bitwise, VanEck and other companies may get decisions prior to October 15. Since a single XRP ETF is attracting more inflows than expected, many spot ETFs may be approved which could bring in much more money into XRP products.
There is an 83% chance, according to Polymarket traders, that XRP ETFs are approved before 2025 which means investors think it is highly likely. Perhaps investors expect more future approvals which explains why the XRP ETF is bucking the trend of other similar products.
While XRP ETF breaks inflow more, its price has varied. ETF data indicates that greater institutional investment coming in, through regulated funds, might not mean an immediate rise in the value of the asset.
Depending on markets, traders might want to trade XXRP only in the short run due to compounded risk.
In any case, Ripple’s record inflows to the XRP ETF occur as some investors appear to have a long-term outlook, hoping for big shifts in the company or in the regulations.
Conclusion
Despite XRP’s shaking prices, XRP ETF breaks inflow and remains stable and the Teucrium 2x Daily XRP ETF keeps adding capital each day. Since reaching $85.7 million in April, the assets in the fund now stand at $106 million, due in part to the fund’s successful $30.4 million weekly inflow so far.