XRP Gains Momentum as Bitcoin and Ethereum Face $534M Sell-Off  

• Bitcoin and Ethereum ETPs faced $534 million in combined outflows during DeepSeek’s market-shaking launch. 
• XRP ETPs recorded $2.1 million in inflows, defying broader market sell-offs and showing investor confidence. 
• Large XRP wallets accumulated 120 million XRP during the dip, signaling a strategic buying approach amidst volatility. 

Yesterday marked a significant shift in global markets following the much-anticipated launch of DeepSeek, China’s new competitor to OpenAI’s ChatGPT. The debut sent shockwaves through broader markets, including the NASDAQ, which suffered losses that extended to the cryptocurrency sector. Bitcoin and Ethereum were sold off aggressively, while their ETPs witnessed a net outflow. 

Bitcoin and Ethereum Experience Major Outflows 

James Butterfill provided data to show that Bitcoin and Ethereum had significant outflows from their ETPs to the tune of $442 million and $99 million. As a result, the total outflows of crypto ETPs hit $534 million which is one of the biggest single-day indications in the past few months. These sell-offs were occasioned by investors’ jitters brought about by the volatility that was occasioned by DeepSeek’s market debut. 

XRP Stands Out Amid the Sell-Off 

However, while Bitcoin and Ethereum fumbled, XRP was among the few to shine. Despite an initial dip, XRP reversed the trend and recorded $2.1 million in ETP inflows on the same day. This divergence showcased XRP’s resilience as it gained attention from investors seeking opportunities amidst broader market declines. 

On-chain data painted a similar picture of confidence in XRP. The millionaire’s wallets, or large wallets, bought 120 million XRP during the dip. Instead of panicking and selling their shares, these investors saw it fit to purchase more shares when the market was down. Their behavior showed increased confidence in the further development of the XRP. 

Market Adjusts to DeepSeek’s Impact 

Overall, the market is still volatile as investors try to grapple with the effect that DeepSeek’s launch has had on the market. Nevertheless, the opposite trend observed for Bitcoin, Ethereum, and XRP shows that investors are selectively preparing. Whereas Bitcoin and Ethereum were under pressure from liquidations, XRP showed how it could profit from market instability.