XRP Outshines Bitcoin as ETF Flows Diverge and Spot Momentum Cools 30%

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Ripple’s XRP led major cryptocurrencies higher on Wednesday, gaining about 3.8% to around $1.44 while Bitcoin struggled to reclaim the $80,000 level it lost after a stronger-than-expected August jobs report. Spot XRP ETFs drew roughly $1.55 million in inflows on Tuesday, while Bitcoin, <a href="https://xpertsstudio.com/bitmine-adds-28086-ethereum-controls-4-9-of-supply/” title=”Bitmine Adds 28,086 Ethereum, Controls 4.9% of Supply”>Ethereum, and Solana products all recorded net outflows. Glassnode data showed Bitcoin’s spot momentum cooled 30% over the past week, with spot volume flat at $5.3 billion and the cumulative delta narrowing. Open interest in futures rose 1% to $37.1 billion, but long-side funding payments fell 32.8%, suggesting the rebound may be driven by short covering rather than fresh spot demand. Bitcoin traded near $79,000, with its market cap at $1.590 trillion and dominance at 58.8%.

Key Elements

Ripple’s XRP advanced nearly 4% on Wednesday, leading gains among major digital assets as a sharp divergence in U.S. spot crypto ETF flows underscored shifting investor appetite. The token traded around $1.44, defending a key support level at $1.40 after briefly slipping below it a day earlier.

The move contrasted with Bitcoin’s struggle to reclaim the $80,000 threshold it surrendered on September 5, when a much stronger-than-expected August jobs report revived expectations that the Federal Reserve may raise interest rates again. Bitcoin changed hands near $79,000, up roughly 1% over 24 hours, while Ethereum gained about 1.4% to trade above $2,500 and Solana rose less than 2%.

Flow data from SoSoValue showed that spot XRP exchange-traded funds pulled in about $1.55 million on Tuesday. By contrast, Bitcoin ETFs recorded $46.65 million in net outflows, Ethereum products shed $24 million, and Solana funds posted a net outflow of $667,720. The bifurcation marked a rare session in which XRP products attracted capital while the dominant Bitcoin and Ethereum vehicles bled assets.

Retail sentiment on Stocktwits, however, remained cautious. XRP’s sentiment reading stayed in the bearish zone with chatter levels described as low over the prior 24 hours. Bitcoin sentiment also dipped from neutral to bearish, even as chatter held at normal levels.

On-chain analytics firm Glassnode reported that Bitcoin’s spot momentum had pulled back 30% over the past week. After a stretched reading in the prior period, the metric has returned to the middle of its statistical bands. Spot volume held steady at $5.3 billion, while the spot cumulative delta narrowed from -$84.9 million to -$29.6 million, indicating that selling pressure is easing and buyers are showing more conviction.

Derivatives markets painted a mixed picture. Open interest in Bitcoin futures climbed 1% to $37.1 billion, sitting above the upper statistical band Yet long-side funding payments tumbled 32.8% to $1.3 million, suggesting that leverage is building without an equally aggressive bid for upside exposure

Crypto trader Michaël van de Poppe said Bitcoin remains range-bound but has defended an important support area, keeping a potential move toward $82,700 in view. Fellow trader Ted Pillows offered a more cautious read on the rebound. “No spot demand for $BTC right now. Shorts are being closed, which is driving this rally,” Pillows said on Wednesday.

The observation echoed the Glassnode data, which suggests the current bounce may be fueled more by short covering than by fresh capital entering the market.

Bitcoin last traded above $80,000 on September 4, when it climbed past $82,000 for the first time since mid-May. The breakout proved short-lived. The next day, the Labor Department reported that non-farm payrolls jumped by 162,000 in August — three times the consensus forecast — while the unemployment rate held at 4.1%. The data revived speculation that the Fed could deliver another rate hike, triggering a sell-off that pushed Bitcoin below $79,000 by the end of the session.

The cryptocurrency rebounded over the weekend and tested the $80,000 resistance again on Monday morning, but the attempt was quickly rejected. Bitcoin dipped to $78,800 before bears drove it as low as $76,400. It has since recovered to around $79,000, with its market capitalization rising to $1.590 trillion and its dominance over alternative coins climbing to 58.8%.

Across the broader market, several altcoins posted outsized gains. Zcash surged nearly 10% to $1,240, while Polkadot, Cosmos, and Litentry also advanced. VVV stood out with a daily gain exceeding 50%, trading at $29. Hyperliquid hit another all-time high near $90. The total cryptocurrency market cap rose 0.54% to $2.690 trillion.

For investors, the divergence in ETF flows and the cooling of spot momentum raise questions about the durability of the current rebound. While the narrowing spot cumulative delta suggests sellers are stepping back, the decline in long-side funding payments indicates that leveraged traders are not yet positioning aggressively for a sustained move higher. A decisive reclaim of $80,000 would likely require a resurgence in spot demand, which traders like Pillows argue has yet to materialize.

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Source: finance.biggo.com