XRP News Today: XRP's $2.05 Test: Can Buyers Outlast Institutional Sellers?

Generated by AI AgentCoin WorldReviewed byAInvest News Editorial Team
Monday, Dec 1, 2025 12:59 pm ET1min read
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- XRP's $2.05 support test highlights fragile structure amid sharp corrections and heavy institutional selling.

- ETF inflows contrast with whale distributions as buyers show resilience but fail to reclaim broken levels.

- Diverging technical analyses predict either $2.40 resistance tests or $1.80 support retests depending on institutional accumulation.

- New XRPXRP-- ETFs attract $164M inflows but face offsetting derivatives liquidations and whale offloads of 180M tokens.

- $2.05 becomes critical pivot point with long-term forecasts ranging from $5 by 2026 to $26.50 by 2030 under favorable conditions.

XRP's price has remained in a tight trading range around the $2 level, with recent movements sparking debates among traders and analysts about whether the asset is consolidating within a potential Wyckoff accumulation pattern or entering a broader downtrend. The token's behavior in late November and early December 2025 has been marked by volatility, with sharp corrections and institutional selling pressures testing key support levels. While some technical indicators suggest a possible rebound, others highlight the fragility of XRP's current structure amid macroeconomic headwinds and regulatory uncertainty.

The recent 7% drop in XRPXRP-- to $2.05 underscored the vulnerability of the $2.16 support level, a critical pivot that had defined consolidation over the previous three weeks. Institutional selling overwhelmed ETF inflows, with exchange volume spiking to 309.2 million tokens-over four times the rolling average-confirming heavy distribution by large holders. This breakdown pushed the token into a descending channel defined by declining highs, reflecting bearish control in the short term. However, buyers have shown resilience at the $2.05–$2.00 zone, repeatedly absorbing dips but failing to reclaim broken support levels.

Longer-term price predictions paint a mixed picture. CoinPedia's analysis suggests XRP could test $2.40–$2.50 resistance to set the stage for a rally toward its all-time high of $3.66, but failure to hold above $2.05 risks a retest of the $1.80–$1.87 demand band. On-chain data adds nuance to this debate: decentralized exchange (DEX) transaction activity has surged since May 2025, indicating that sophisticated traders are positioning for a potential breakout. This divergence between price consolidation and rising DEX activity suggests the market may be preparing for a more sustained rally if institutional accumulation resumes.

The launch of new XRP spot ETFs has introduced fresh dynamics. Franklin Templeton's XRPZ and Grayscale's GXRP attracted $164 million in day-one inflows, signaling institutional confidence in regulated exposure to the asset. However, these gains were partially offset by derivatives liquidations and whale distributions, with large holders offloading 180 million XRP in late November. The $2.20–$2.21 consolidation range now serves as a critical juncture: a retest of $2.24–$2.38 resistance could validate bullish momentum, while a breakdown below $2.05 risks exposing deeper support levels.

Looking ahead, technical analysts emphasize the importance of holding $2.05 to avoid a cascade into the $1.80–$1.87 zone. Meanwhile, price prediction models from CoinPedia project a gradual ascent toward $5 by 2026, with potential highs of $26.50 by 2030 under favorable market conditions. These forecasts hinge on XRP's ability to maintain stability above key resistance levels and capitalize on ETF-driven demand. For now, the asset's trajectory remains a tug-of-war between institutional selling pressures and speculative accumulation, with the Wyckoff pattern's validity hinging on whether buyers can regain control at critical price levels.

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