CoinTrust

Coinshares Highlights Rising Institutional Interest in XRP

Latest data provided by CoinShares has disclosed that institutional investors are lured towards XRP. The report disclosed that for the foremost time, assets under management (AUM) have increased to $64 billion. Out of this, $233 million was invested in the past seven days, reflecting the largest investment since March.

Without any surprise, Bitcoin (BTC) and Ethereum (ETH) saw the largest investments with $103 million and $65 million, respectively. Nevertheless, the most significant asset in terms of investments received was XRP. The asset lured $33 million investments, taking the total AUM to $83 million, reflecting an increase of 100% in a short span of time.

The report stated,
“We believe this recent renewed appetite for digital assets is due to a combination of increasing acceptance from institutional investors, fears for inflation, and price momentum.”

The core team of CoinShares also underlined the difference in inflows. Bitcoin Cash (BCH) received an investment of only $4 million. Likewise, Polkadot (DOT) and Binance (BNB) received inflow of $5 million and $3 million, respectively.

Tesoz (XTZ) received an investment of $7 million. A section of crypto investors argued that the difference has caused a decline in Bitcoin’s dominance in the past few days. As the dominance rate of Bitcoin declines in the days ahead, investors will be attracted towards altcoins that will eclipse the numero uno crypto by market cap, in terms of performance.

As Bitcoin’s dominance continues to fall, investors will be lured into altcoins that will continue to outperform the largest digital asset by market cap.

Furthermore, the firm recorded a higher transactional volume of $4.8 billion last week. The figure represents a 59% rise from the earlier year. The SEC’s case against Ripple will have a greater impact on the price of XRP. Therefore, sentiments of investors will be fluctuating often as per the outcome of proceedings.

So, it is now amply clear that it is not only the retail investors who are supporting XRP in the long-term. Funds are looking for outcome in favor of XRP to enter the XRP fray. Both Bitcoin and Ethereum face similar circumstances. It should be noted that Bitcoin has tripled from the high recorded in 2017. Ethereum, on the contrary, is $400 away from doubling its value over the same period.

Of late, XRP has rallied to hit a high of $1.96. In the past 24 hours, it has plunged by about 20% to trade at roughly $1.10 as the market records a wider market sell-off.

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