Heavy XRP-spot and BTC-spot ETF outflows hit sentiment as risk aversion swept crypto markets. Progress on the US Market Structure Bill supports a bullish medium-term XRP outlook amid regulatory clarity hopes. XRP targets $2.5 in the medium term as legislation, utility growth, and Fed cut bets offset ETF outflows. On January 29, the US XRP-spot ETF market saw $92.92 million in net outflows, its largest since the Canary XRP ETF (XRPC) launched in November.
The Grayscale XRP ETF (GXRP) had net outflows of $98.39 million, snapping the XRP-spot ETF market’s six-day inflow streak. The Canary XRP ETF, the Bitwise XRP ETF, and the Franklin XRP ETF reported net inflows, limiting the damage. XRP-spot ETF flows continue to influence XRP’s supply-demand balance and price outlook. Since launch, the US XRP-spot ETF market has seen total net inflows of $1.17 billion, supporting the bullish outlook.
The US BTC-spot ETF market added to the negative sentiment, with net outflows of $500 million (pending iShares Bitcoin Trust numbers). Fed Chair Powell’s non-committal stance on further rate cuts weighed on demand for crypto-spot ETFs, as expectations of an H1 2026 Fed rate cut cooled mid-week. The Nasdaq Composite Index fell 0.72% to close at 23,685, despite recovering from a session low of 23,233. While risk sentiment triggered XRP-spot ETF outflows, crypto-related regulatory developments on Capitol Hill reaffirmed the bullish short- to medium-term outlook for XRP.
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