Bitcoin ETFs Just Had Their Best Day of October While XRP ETFs See No Inflows for Three Sessions. Are Investors Rotating to BTC?
Bitcoin ETFs are pulling in hundreds of millions while XRP funds sit frozen with zero net flow for three straight sessions, and the source of that capital tells a story investors may not expect.
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Bitcoin (CRYPTO:BTC) spot exchange-traded funds (ETFs) saw an impressive $175.6 million inflow, one of the month’s largest increases, according to SoSoValue. This surge followed a $65.4 million outflow the previous session, making October 13 the second-biggest inflow day this month. Spot ETFs directly hold Bitcoin and trade like regular shares on stock exchanges.
In stark contrast, XRP ETFs (CRYPTO:XRP) recorded no net flow that day, remaining stagnant for three consecutive sessions.
Currently, Bitcoin is trading at $83,382, flat on the day after moving between $82,919 and $84,025. Over the past week, it’s down 0.9%, but it’s up 7.1% over the last 30 days. Meanwhile, XRP is priced at $1.37, down 6.9% for the week. With one group of funds seeing inflows and another remaining flat, could this indicate a shift from XRP to Bitcoin among investors?
Bitcoin ETF Flows Swung Both Ways in October
Bitcoin ETF performance throughout October has been erratic. SoSoValue’s records show five inflow days and four outflow days, with significant shifts in both directions.
| Date | Direction | Net Flow |
|---|---|---|
| October 1 | Inflow | $102.7 million |
| October 2 | Inflow | $189.8 million |
| October 5 | Outflow | $89.9 million |
| October 6 | Inflow | $118.9 million |
| October 7 | Outflow | $487.1 million |
| October 8 | Outflow | $244.1 million |
| October 9 | Inflow | $21.1 million |
| October 12 | Outflow | $65.4 million |
| October 13 | Inflow | $175.6 million |
The biggest move of the month was a significant withdrawal of $487.1 million on October 7, nearly half a billion dollars, followed by another outflow of $244.1 million the next day. As a result, even with the strong inflow on October 13, the overall monthly trends reflect a net outflow of about $278 million for Bitcoin, with total assets in these funds at $106.98 billion.
XRP ETFs Recorded Zero Net Flow for Three Sessions
XRP ETFs have displayed a markedly different trend, with zero net flows recorded on October 9, October 12, and October 13. Over the month, five sessions showed no movement in capital. This indicates that investors neither added to nor pulled money from these funds.
A fund records a flow when new shares are created, or existing shares are redeemed. Therefore, a zero net flow indicates no shares were created or redeemed, and the cumulative inflow has held at $1.80 billion across those sessions. However, the XRP funds hold $1.56 billion in net assets, meaning their value has fallen since much of the money first arrived because XRP’s price has declined. On October 13, only $20.5 million worth of XRP fund shares changed hands, the lowest trading volume of the month. This low activity signals reduced investor interest.
Did Bitcoin’s Inflow Come From XRP Funds?
For funds to rotate between assets, capital must flow out of one area and into another. Since XRP funds saw no outflows, the $175.6 million that entered Bitcoin funds on October 13 could not have directly come from XRP funds.
Instead, this inflow may reflect new investment from individuals entering the crypto market for the first time, or funds moving in from outside crypto, such as traditional cash or stocks. Large investors often adjust their positions ahead of pivotal economic events, such as interest rate decisions. However, without additional data, it’s impossible to determine the exact source of these inflows.
Despite this influx, Bitcoin’s price barely fluctuated. Its peak of $84,025 fell just short of $84,340—a level where significant buying has previously occurred. Investors holding Bitcoin at a loss around that price level typically sell during rallies to break even, which can absorb new demand and prevent prices from rising.
That said, one strong inflow day doesn’t establish a clear trend, so it’s too early to conclude what this means for Bitcoin’s price going forward.
Are Investors Shifting From XRP to Bitcoin?
The October data indicates no substantial capital flow from XRP to Bitcoin, as XRP funds registered zero net flow over the relevant days. Instead, it reveals two distinct patterns: Bitcoin fund investors are actively trading and adjusting positions, while XRP fund investors appear to be stepping back, leading to lower trading volumes.
To confirm a definitive shift, XRP funds would need to show outflows while Bitcoin funds experience inflows. A key figure to watch is XRP’s cumulative inflow of $1.80 billion; if that figure drops while Bitcoin funds continue to see inflows, it would support the idea of capital rotation. Additionally, if Bitcoin closes above $84,340, it could signal that buyers are ready to absorb selling pressure from those looking to break even.
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Sam Daodu is a crypto analyst who's spent nearly a decade making blockchain understandable—no easy task when most whitepapers read like fever dreams. He writes for 24/7 Wall St., covering Bitcoin, altcoins, and crypto market analysis for investors. Before crypto, he was a tech writer (back when explaining "the cloud" was peak innovation). Since 2018, he's written for CoinTelegraph, Yahoo Finance, The Block, Cryptonews, Zypto, Rain, and more—basically anywhere people want crypto news without the headache. Sam runs MacLabs Marketing, a content agency for crypto brands tired of sounding like AI wrote their website. He also publishes free crypto education on his site for Web3 enthusiasts who think "gas fees" is a typo. When he's not writing or staring at charts, Sam's either: - Watching anime (currently convinced One Piece has better tokenomics than most altcoins) - At the gym sculpting himself into a Greek god - Listening to the music your mum warned you only bad boys listen to Connect: LinkedIn | Email | MacLabs Marketing
