Sentiment in the crypto market is diverging again. While investors are massively pulling out of bitcoin and ether, traders’ attention has unexpectedly shifted to XRP. On social media and in derivatives, this asset now appears to be the favorite.
Santiment analytics platform data shows a sharp skew in sentiment. Pessimism prevails for bitcoin and ether, while XRP leads in positive mentions.
Bitcoin and Ether Lose Investor Support
The main blow fell on exchange-traded funds. On February 4, net outflows from bitcoin ETFs totaled $171.5 million in just one day. The largest losses were recorded by the Fidelity fund, which lost $86.4 million.
Funds managed by Grayscale and ARK also showed significant outflows. At the same time, trading volume for bitcoin ETFs reached $7.14 billion, but this did not help support prices. Almost all funds ended the day down more than 4%.
Despite the sell-off, total assets in bitcoin ETFs remain significant—$95.5 billion. This is about 6.35% of bitcoin’s market capitalization. However, market sentiment continues to deteriorate.
Ether Mirrors BTC Scenario
The situation for ether looks no better. On the same day, ether-based ETFs lost $20.53 million. All the outflow came from the Fidelity fund, but the drop in prices affected the entire sector.
Ether ETF prices fell in the range of 5.6% to 5.8%. Since launch, the Grayscale fund has already lost more than $5.1 billion. Total assets in ETH ETFs have shrunk to $13.04 billion, which is 4.82% of the asset’s capitalization.
Amid macro uncertainty and declining risk appetite, retail investors continue to reduce positions in the largest cryptocurrencies.
XRP Moves Against the Market
While bitcoin and ether are losing trust, XRP is showing the opposite trend. On February 4, inflows into XRP ETFs totaled $4.83 million. Total net inflows reached $1.21 billion, and assets under management—$1.07 billion.
The Franklin fund led in inflows, followed by products from Bitwise and 21Shares. Trading volumes for XRP ETFs remain modest compared to BTC and ETH, but the direction stands out against the general backdrop.
According to Santiment, rising skepticism among retail investors in the overall market often coincides with short-term rebounds. The specific interest in XRP may be part of just such a scenario.
Traders Bet on Growth Through Options
Optimism is also visible in the derivatives market. According to Binance, 86.9% of open interest in XRP options is in call contracts. Puts account for only 13.1%.
In monetary terms, the volume of calls exceeds $255 million versus $38.6 million for puts. The most popular contracts expire on February 6 and target a price range from $1.70 to $2.15.
This does not indicate a bet on a sharp breakout, but rather an expectation of a moderate short-term upward move. Traders are looking for local opportunities while the market as a whole remains under pressure.
What's Next?
The cryptocurrency market is experiencing another shift in sentiment. Bitcoin and ether are losing investor support amid ETF outflows and declining risk appetite.
Against this backdrop, XRP stands out as a rare exception. Growing interest on social media, inflows into funds, and a skew in options make it the main focus of short-term expectations. However, the sustainability of this trend will depend on the overall state of the market.
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