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Institutional crypto exposure is undergoing a subtle but significant change, and the figures from Jan. 5 to Jan. 9 make it difficult to ignore. There was a net $681 million withdrawal from Bitcoin spot ETFs. With outflows of $68.57 million, Ethereum came next. While XRP spot ETFs brought in $38.07 million, Solana spot ETFs brought in $41.08 million.
Risk relocation or fundamental change?
While they are obviously reallocating risk, institutions are not completely giving up on Bitcoin or Ethereum. Although Bitcoin is still the market's macro anchor, its short-term growth is limited by a large distribution close to important moving averages. Price action reflects this reluctance: ETF outflows indicate that major players are at ease, lowering exposure at these levels rather than aggressively defending them, and BTC is grinding sideways above local support but lacks momentum.
Ethereum is in a similar but more precarious situation. Major EMAs continue to be a challenge for ETH, with rallies swiftly fading into overhead resistance. Ethereum is no longer the go-to second bet for institutions seeking growth despite the fact that the ETF outflows are smaller in absolute terms. Capital efficiency is important, and ETH has not been providing much of it lately. XRP and Solana can help with that.
Cleaner narratives for institutional positioning are currently provided by both assets. Even though short-term volatility is still high, XRP gains from increased interest in ledger-level activity and payment infrastructure. From a price standpoint, XRP is making an effort to level off following a protracted decline, and ETF inflows indicate that some funds are positioning ahead of time rather than seeking confirmation.
Solana's liquidity explodes
Solana is regarded as a high-beta growth vehicle. SOL has demonstrated improved liquidity, strong derivatives participation and relative strength despite recent corrections. Here ETF inflows show that institutions are prepared to take on greater volatility in return for asymmetric upside.
The main lesson is straightforward: institutions are rotating rather than retreating. Investors are shifting their focus from crowded trades with little short-term upside to assets with lighter positioning and developing narratives.
For the time being, XRP and Solana are unquestionably winning the institutional attention battle — at the expense of Bitcoin and Ethereum. But whether this trend continues will depend on broader market conditions.
Arman Shirinyan
Alex Dovbnya
Dan Burgin