It is observed that novel altcoin ETFs eclipsed Bitcoin and Ethereum through record inflows amid skepticism from traditional finance sectors.
A sharp disparity became apparent in the crypto ETF market this month.
It is indicated by SoSo Value data that the novel products tracking Solana and XRP are garnering substantial capital, a development which stands in opposition to a severe wave of outflows from established Bitcoin and Ethereum vehicles.
It is demonstrated by the data that the newly launched altcoin ETFs have accumulated more than $500 million in combined inflows in less than a month.
It is accentuated by these inflows that investor interest in assets surpassing the market leaders is increasing.
Solana and XRP ETFs Attract Strong Inflows, Surpassing Half a Billion in Assets
Solana ETFs, which were inaugurated in October, have gathered $382.05 million in total inflows in only three weeks. The three funds, overseen by Grayscale, Bitwise, and VanEck, now manage combined assets valued at more than $541.31 million, as reported by SoSo Value.
Concurrently, demand for the newer XRP product has been demonstrated to be similarly sturdy.
The spot XRP ETF, introduced by Canary Capital last week, garnered $250 million in its first day of trading on nearly $60 million in volume, and a significant amount was attracted.
The importance of the product’s performance was underscored on X by Nate Geraci, co-founder of the ETF Institute and President of NovaDius Wealth, who remarked:
“Canary XRP ETF has [posted the] highest day one trading volume out of 900+ ETF launches this year.”
It was asserted by him that this furnished additional testimony of how the performance of spot crypto ETFs has habitually and substantially exceeded the expectations of the traditional finance sector.
While it was acknowledged by him that distrust from the “old guard” of traditional finance persists at a high level, investor capital is deemed the definitive yardstick of success.
Nevertheless, it was noted by him that spot crypto ETFs have habitually surpassed expectations and have attained dominance over the list of foremost ETF introductions in the past two years.
Significant Outflows Hit Bitcoin and Ethereum
The fervor for altcoin funds is set against a stark contrast with U.S.-based spot Bitcoin ETFs, which registered substantial capital flight exceeding $3 billion over the three weeks concluding Nov. $14.
The capitulations were persistent, commencing with $798 million for the week terminating Oct. $31. Outflows then intensified to $1.2 billion for the week closing Nov. $7, followed by another $1.1 billion that was divested for the week ending Nov. $14.
A similar pattern was observed by Ethereum ETFs, which relinquished more than $1.2 billion in total during the same timeframe. Subsequent to slight inflows of $15 million in the last week of October, the ETH funds were subjected to substantial capital flight exceeding $500 million and $728 million in the following two weeks.
A cumulative sum of $4.2 billion in outflows is represented by that figure across Bitcoin and Ethereum ETFs exclusively.
It was posited by James Butterfill of CoinShares that the recent reduction in capital from the Bitcoin and Ethereum ETFs is correlated with macro-level apprehensions.
“We believe the combination of monetary policy uncertainty and crypto-native whale sellers are the main reasons for this most recent negative funk.”
He wrote:
Concurrently, BlackRock’s funds were accountable for approximately fifty percent of the capitulations, with IBIT and ETHA collectively forfeiting more than $2 billion. Nearly $1.4 billion was withdrawn from IBIT, while over $700 million was transferred out of ETHA.
During this timeframe, a $421 million outflow was recorded by BlackRock’s ETHA, which represented its most significant weekly deficit since its commencement in $2024.
Despite the recent retraction, a Q3 $2025 overview of IBIT’s institutional ownership demonstrated a fifteen percent rise in the number of institutional holders. Total institutional ownership increased by one percent to attain twenty-nine percent, with Sovereign Wealth Fund and UAE ownership being measured at 2.14% and 4.1%, respectively.
