XRP News Today: XRP ETF Inflows Hit $1.2B Amid Sub-$2.00 Price Doldrums

XRP, the digital asset issued by Ripple, has remained under $2.00 for most of December 2025, despite ongoing inflows into XRP spot ETFs. Traders and investors are watching closely as the price consolidates near $1.92, with technical indicators suggesting bearish momentum. The broader crypto market remains in a cautious mood, with macroeconomic uncertainties and regulatory developments influencing sentiment.

Institutional interest in XRP continues to build, with spot ETFs reaching over $1.2 billion in assets under management. This steady flow of capital has created a divergence from spot price movements, indicating that institutional investors may be accumulating XRP at lower levels. However, this trend has not yet translated into a strong rebound in the asset's price.

Large holders, or "whales," are also increasing their XRP holdings, with wallets containing between 10 million and 100 million coins accounting for 16.99% of the total supply. This uptick in whale activity suggests growing confidence in XRP's long-term prospects, even amid short-term volatility.

Institutional Interest vs. Retail Sentiment

XRP spot ETFs have seen consistent inflows, with $1.01 billion in cumulative deposits as of mid-December 2025. These funds have not experienced any outflows since their launch in November, underscoring institutional confidence in the asset. Bitwise's XRP ETF and Franklin Templeton's XRPZ have led the inflow trend, collectively drawing in millions of dollars in recent weeks.

Despite this institutional buildup, retail interest in XRP remains subdued. Futures open interest (OI) has fallen to $3.56 billion, down from its peak of $10.94 billion in July. This decline in retail participation reflects waning investor confidence in XRP's ability to sustain an uptrend. A sustained increase in OI would be necessary to support a meaningful price move above $2.00.

Technical Outlook and Key Levels to Watch

Technically, XRP is trading below key moving averages, including the 50-day, 100-day, and 200-day EMAs. These indicators continue to act as bearish forces, keeping the price constrained near $1.92. The RSI is currently at 37, indicating bearish conditions but not extreme overselling. A break above $2.00 could provide the catalyst for a test of the 50-day EMA at $2.18.

On the downside, a daily close below $1.90 could trigger a deeper correction toward $1.82, with the next level of support at $1.61. Analysts are closely watching the $2.05 resistance level, which is seen as a critical threshold for confirming a reversal in the short-term trend. A sustained move above this level could attract more buyers and signal the start of a broader recovery.

Regulatory Developments and Market Implications

The U.S. Senate is expected to begin markup of the CLARITY Act in January 2026, a key piece of legislation aimed at clarifying the regulatory framework for digital assets. This bill is seen as a potential turning point for the crypto industry, as it would define whether digital assets are securities or commodities and establish clearer roles for the SEC and CFTC. The delay in passing the bill has contributed to regulatory uncertainty, which has kept the market in a holding pattern.

While the CLARITY Act moves toward Senate approval, the SEC and CFTC have already begun taking steps to engage more constructively with the crypto sector. The CFTC has started allowing licensed institutions to participate in spot crypto trading, and the OCC is granting banks the ability to conduct riskless principal crypto transactions. These developments are expected to further integrate digital assets into the traditional financial system.

What This Means for XRP and Investors

Investors are split between optimism and caution as they weigh the growing institutional interest in XRP against the persistent bearish technical signals. The ETF inflows and whale accumulation suggest that XRP is being viewed as a potential long-term holding, but the lack of retail buying power and the dominance of bearish indicators mean that a meaningful price breakout remains unlikely in the near term.

For XRP to break above $2.00, it will need to overcome both technical and market-based challenges. A key factor will be whether institutional buying continues to outpace selling pressure from large holders. If XRP ETF inflows reach $15 million or more daily, it could provide the necessary upward pressure to push the price above the $2.00 level.

Investors should also monitor broader macroeconomic developments, particularly shifts in inflation expectations and interest rate policy. These factors have historically influenced risk appetite in crypto markets and could play a role in XRP's near-term performance. As the CLARITY Act moves through the legislative process, regulatory clarity could further influence investor sentiment and market structure.