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On October 2, U.S. XRP ETFs took a hit. Net outflows: $3.28 million. Not a huge figure in itself, but concentrated 100% on a single fund — Bitwise — making the move hard to ignore.
Why It Matters
The significant outflows from the Bitwise XRP ETF highlight growing investor caution amid a volatile market for XRP, particularly following its recent price decline. Such concentrated outflows could indicate a shift in market sentiment or concerns about regulatory developments affecting XRP, which may impact overall investor confidence in XRP-related products. Additionally, the erosion of total net assets in XRP ETFs underscores the fragile nature of investor sentiment in the current crypto landscape, where individual fund performance can rapidly influence broader market dynamics.
And the timing is unfortunate. XRP slipped from $1.55 to around $1.44 on the same day, a drop that mechanically eroded the value of assets held by all funds in the category. As a result, the total net assets of XRP ETFs shrank from $1.695 billion on October 1 to $1.658 billion the next day. The difference between these two figures — about $37 million — comes almost entirely from the depreciation of the tokens, not actual withdrawals. The $3.28 million in effective outflows is the small visible part. The rest is just the price dropping.
It seems simple, but many people confuse the two.
Bitwise at the Center of the Storm, Again
Bitwise is not a minor player in this market. It is the leader in terms of cumulative inflows, with $677 million in net entries since launch. But it is also, evidently, the fund that investors use as a priority when they want to exit quickly. Not necessarily a sign of distrust towards the product — rather a sign of liquidity. When you want to adjust your exposure quickly, you sell what you can sell easily.
And it’s not the first time. In September — precisely on September 2 — Bitwise had already faced outflows of $7.2 million, more than double the movement observed on October 2. At that time, the other funds in the category had not moved either. Same pattern, same concentration.
Franklin Templeton and Canary Capital, the other two heavyweights in the sector with $505 million and $490 million in cumulative inflows respectively, recorded no net movement on October 2. Zero. No outflows, no inflows. It calms the catastrophic picture a bit.
September Was Solid for XRP
This needs to be placed in the context of the past month. September was rather good for XRP ETFs — $121.4 million in net inflows over the entire month. And in the period from September 22 to 25 alone, the funds captured $75.6 million. The beginning of October even started with positive inflows before October 2 broke the momentum.
So no, we are not facing a structural collapse in demand. Rather a short-term correction, likely related to the general downturn in the crypto market that day. Bitcoin also fell on the same session. XRP is not the only one that suffered — it’s a broad market movement, not targeted distrust of Ripple or its derivative products.
It’s not clear yet if this is the start of a trend or just noise.
XRP ETFs currently represent about 1.79% of the total XRP market capitalization. It’s not negligible, but it remains lower than Solana ETFs in proportion. The crypto index product market outside of Bitcoin and Ethereum is still young — flows can change direction quickly, sometimes without obvious reason.
What’s interesting in the Bitwise case is what it says about the market structure. A leading fund in inflows that also concentrates almost all the withdrawals — it’s consistent with a very liquid product, heavily used for tactical portfolio adjustments. The investors who quickly enter Bitwise are probably the same ones who exit quickly when the market turns.
This does not detract from the solidity of the cumulative inflows: $677 million is substantial.
The month of September totaled $121.4 million in net inflows — a figure that gives an idea of the real appetite for publicly traded XRP, regardless of occasional turbulence.
Hub: XRP: Price, News, and Analysis
Frequently Asked Questions
What amount did investors withdraw from XRP ETFs on October 2, 2026?
Investors withdrew $3.28 million from U.S. XRP ETFs that day, with all of these outflows coming from the Bitwise fund.
Why did the assets of XRP ETFs decrease by $37 million when withdrawals were only $3.28 million?
The difference is due to the depreciation of XRP itself: the price dropped from $1.55 to around $1.44 on October 2, which mechanically reduced the net asset value of the funds without investors selling their shares.
What is Bitwise’s cumulative balance on XRP ETFs?
Despite recent withdrawals, Bitwise remains the category leader with $677 million in cumulative net inflows since its launch.
