XRP and HYPE ETFs draw inflows as bitcoin, ether funds bleed capital
In brief
- XRP-linked ETFs attracted $59.4 million in June, marking third consecutive month of inflows
- HYPE funds surged $161 million in net inflows as Hyperliquid generated $80 million in fees
- Bitcoin ETFs suffered record outflows exceeding $4 billion; ether ETFs posted $528.99 million outflows
- July historically bullish for bitcoin, averaging 19% gain versus 7.8% decline over 15 years
The rotation into alternatives
The capital flight from established crypto products signals a broader shift in market sentiment. Bitcoin ETFs suffered record outflows of more than $4 billion, while ether ETFs experienced $528.99 million in outflows. Even Solana ETFs shed $786,000, though the magnitude pales beside the larger outflows.
In contrast, XRP-linked ETFs added $59.4 million in June, extending a streak of three consecutive months of positive inflows. The move suggests renewed interest in assets outside the bitcoin-ether duopoly.
Hyperliquid's explosive growth
Hyperliquid captured the most attention. HYPE funds notched up $161 million in net inflows during June, reflecting surging demand for the decentralized exchange's native token. The momentum tracks with the protocol's fee performance: Hyperliquid generated just over $80 million in fees over the past 30 days, placing it third among all protocols by fees behind only Tether and Circle Internet.
That trajectory underscores how quickly newer platforms can scale. It's a sharp contrast to the capital destruction in legacy crypto ETFs.
What July might bring
History offers mixed signals. Over the past 15 years, bitcoin has ended July higher on ten occasions and lower on five. When the month closes in the green, the average gain sits at 19%; when it closes in the red, the typical loss is 7.8%. That asymmetry—larger gains than losses—has historically favored bulls, though this year's ETF outflows suggest caution.
