XRP Sentiment Skyrockets as Bitcoin & Ethereum Face Sharp Bearish Reversal

Market mood swings violently—XRP steals the spotlight while crypto giants stumble.

The Great Sentiment Split

Forget uniform market moves. While Bitcoin and Ethereum charts flash red and trader chatter turns grim, XRP is riding a wave of bullish optimism. The divergence is stark, highlighting how crypto narratives can fracture in an instant.

Pressure on the Pillars

Bitcoin and Ethereum aren't just dipping—they're facing a pronounced shift in perception. The fear isn't about a minor correction; it's about a potential trend reversal that has holders sweating and analysts scrambling to adjust their models. When these two wobble, the entire digital asset ecosystem feels the tremor.

The Lone Bull in the Bear Pen

Amid the gloom, XRP sentiment defies gravity. Whether fueled by regulatory clarity, technical breakthroughs, or pure contrarian spirit, its community and market indicators are buzzing with positive vibes. It's a reminder that in crypto, one asset's crisis is another's opportunity.

The Cynical Take

Another day, another dramatic 'narrative shift' for traders to overreact to—because what's finance without a little performative panic and greed to keep things interesting?

This sentiment rollercoaster underscores a core crypto truth: consensus is fragile. Today's market leader can be tomorrow's laggard, and assets left for dead can suddenly find momentum. For investors, it's a brutal lesson in diversification and conviction. For the market, it's just another Wednesday.

Bitcoin and Ether ETFs see massive outflows and heavy losses

Meanwhile, Bitcoin ETFs saw a big pullback on February 4. Total net outflows hit $171.50 million in just one day. Fidelity’s FBTC alone lost $86.44 million, the biggest single-day outflow on the list.

Grayscale’s GBTC bled another $41.77 million, and ARKB gave up $31.72 million. All major funds posted losses. The value traded across Bitcoin ETFs hit $7.14 billion that day, but prices dropped across the board. FBTC ended the day down 4.03%, and every other ETF showed similar red numbers.

Despite those hits, total net assets in Bitcoin ETFs still sit at $95.51 billion, which is 6.35% of Bitcoin’s full market cap. Cumulative net inflows across all Bitcoin ETFs are still positive at $55.13 billion, but the mood is not.

Ethereum had no better luck. Ether ETF products posted $20.53 million in outflows. Fidelity’s FETH was the only fund to register a drop that day. Total value traded was $2.27 billion, but that wasn’t enough to keep prices from falling.

Every Ether ETF lost between 5.60% and 5.80%. ETHE, run by Grayscale, has now lost $5.14 billion since launch. ETH ETFs are holding $13.04 billion in total net assets, or 4.82% of Ethereum’s market cap.

It’s clear the big names are losing money fast. Retail traders are dumping risk. But somehow, XRP is moving the opposite way.

XRP ETF inflows grow while options traders go heavy on calls

XRP ETFs are the only ones in the green. On February 4, XRP brought in $4.83 million in daily inflows. That brings total cumulative inflows to $1.21 billion, and net assets across XRP ETFs are now at $1.07 billion, which equals 1.15% of XRP’s total market cap.

Franklin’s XRPZ led the inflows with $2.51 million, followed by Bitwise’s XRP product at $1.72 million. Even 21Shares’ TOXR pulled in over $600,000. Total value traded on all XRP ETFs came in at $42.65 million.

That’s small compared to Bitcoin and Ether, but the direction matters more. While the others are dropping, XRP is pulling in cash.

Options traders are also going all in on XRP. Binance data from February 4 shows calls made up 86.87% of all open interest. Puts only made up 13.13%. In money terms, open call positions total about $255.3 million, compared to just $38.6 million in puts.

The top five options by open interest are all call contracts expiring on February 6, sitting between $1.70 and $2.15.

The largest is the $1.70 call, which holds more than 42,000 contracts. The $2.15 call is close behind with over 31,000. Traders aren’t betting on wild breakouts. They’re aiming for a small win in the short term.

Don’t just read crypto news. Understand it. Subscribe to our newsletter. It's free.