Altcoin Funds Attract Capital as Bitcoin and Ether Products Face Major Outflows

While the broader cryptocurrency market faces a significant sell-off, investment products for Solana and XRP are bucking the trend with remarkable resilience. As spot Bitcoin and Ether exchange-traded funds (ETFs) experience some of their largest daily outflows since launching, these altcoin funds have attracted nearly $900 million in combined capital and have yet to record a single day of net withdrawals.

This divergence highlights a growing investor conviction in assets beyond the top two cryptocurrencies. According to data from aggregator SoSoValue, Solana-based spot ETFs have accumulated almost $500 million in net inflows, while XRP ETFs have pulled in $410 million. The steady stream of capital into these newer products offers a rare bright spot in an otherwise bearish ETF landscape, which has seen flagship crypto funds endure one of their most severe multi-week outflow streaks in history.

XRP and Solana ETFs Show Consistent Demand

The momentum for XRP funds received a recent boost when Bitwise Asset Management launched its XRP ETF, which attracted an impressive $105 million on its first day of trading. Asset manager Canary’s XRPC fund also contributed to the positive trend, bringing in another $12.8 million on the same day. Canary, which holds the record for the largest single-day XRP ETF inflow of $243 million on November 14, has been a key driver of consistent demand.

Canary CEO Steven McClurg even congratulated Bitwise on its successful launch, stating that his firm was rooting for its competitor. Solana-based ETFs have shown a similar pattern of strength, recording consistent daily inflows even as market conditions worsened. These SOL products recently attracted between $8.26 million and $55.61 million per day, with November 19 marking the strongest session.

Token Prices Lag Behind ETF Performance

Despite the strong and steady gains posted by their respective ETFs, the underlying SOL and XRP tokens have not shared the same success. The price of Solana has fallen sharply, declining 32.5% over the past month and 10.9% in the last week alone. It currently trades at approximately $122.94, a significant drop over the last year.

XRP has also experienced a recent downturn, with its price falling 21.2% in the last 30 days and 16.6% over the last week. However, its longer-term performance tells a different story. The asset is trading around $1.86, which represents a nearly 50% increase over the past year, showcasing a disconnect between recent market sentiment and its yearly trajectory.

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