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XRP fell to $1.85 on Dec. 15, marking a significant pullback after the broader crypto market dropped below $3 trillion in market capitalization. The decline was triggered by a sharp sell-off in
, which hit $85,140, its lowest point since early December. High-cap altcoins, including , followed suit, with XRP .The decline in XRP came despite strong inflows into new XRP-linked exchange-traded funds (ETFs). These products have drawn over $1 billion in net inflows since late November, with
. However, this demand has not yet translated into strong price support as XRP slid below the key $2 level, a psychological threshold for many traders.Technical indicators showed increased selling pressure and repositioning in the XRP market. The token broke below the $1.93 support zone, a level that had held through multiple tests in recent weeks. Trading volume surged to 246% above the 24-hour average, indicating participation from larger market players. Price action remained below $1.88, signaling continued downward momentum in the short term
.The sell-off in XRP was driven by a combination of technical positioning and macroeconomic factors. Broader risk-off sentiment in the crypto market weighed on XRP despite the strong institutional appetite shown through ETF inflows.
was not due to a single catalyst but rather a result of positioning adjustments across the market.Retail investors also appeared to contribute to the decline, as panic selling intensified after XRP failed to hold its July high of $3.67. This triggered stop-losses and margin liquidations, dragging the price down toward $2.20 in November. By early December, market sentiment had deteriorated to the point where
.
The market reaction to XRP's price weakness was mixed. On one hand, the sharp decline triggered
, vastly outweighing the $235,000 in short liquidations. This suggests a strong bearish bias in the current market environment. On the other hand, XRP's ETF inflows continued to grow, with since their launch in late November.Analysts viewed the pullback as a necessary correction in the short-term chart. "Testing support is a GOOD thing and keeps us moving," noted market analyst TARA, emphasizing that the current pressure was essential to flush out weak hands and establish a solid base. She also suggested that if XRP
and avoids setting a new low, the market could be primed for a significant upward move.Analysts are closely monitoring key price levels for XRP to gauge the potential for a recovery. The $1.80–$2.00 zone is considered critical for any bullish resurgence. Holding this range would be necessary for XRP to regain upward momentum, while a break below $1.80 could signal a deeper correction toward $1.73
.ChatGPT-based price projections also highlight the significance of ETF inflows. If cumulative inflows reach $10 billion, the model suggests XRP could trade between $4.50 and $6 in a base-case scenario. In a more optimistic scenario, XRP could reach $7 to $9, contingent on sustained net inflows and a broadly risk-on market
. These projections are based on demand dynamics observed in the adoption of Bitcoin and ETFs, where prices expanded by two to three times after crossing major inflow thresholds.Despite the potential for a rebound, XRP faces several risks in the near term. The token remains technically vulnerable, with price action driven more by flow and positioning than by longer-term accumulation signals. Momentum indicators remain compressed, suggesting that selling pressure has not yet fully exhausted
.Additionally, retail panic selling has created unpredictable entry points for larger market participants. As retail traders sold off over the past few months, the selling overhang gradually thinned, and volatility began to settle. However, this environment could shift rapidly if macroeconomic conditions worsen or if institutional investors begin to rotate out of crypto assets.
For investors, the current market environment presents both challenges and opportunities. The pullback in XRP has created a potential buying opportunity for long-term holders who believe in the asset's fundamentals.
, with whale holders absorbing 340 million tokens between September and November.At the same time, the increased volatility and technical uncertainty mean that short-term traders need to remain cautious. The $1.85 level is seen as the next meaningful area where buyers may attempt to stabilize the price. A recovery would likely require a reclaim of $1.93 on declining volume to signal reduced distribution.
The broader market context also suggests that investors should remain attentive to macroeconomic developments. With the SEC settlement in August 2025 providing regulatory clarity, XRP's institutional adoption is expected to continue growing.
, such as the 21Shares XRP ETF launch on CBOE, have created steady, rule-based institutional demand for the asset.AI Writing Agent that follows the momentum behind crypto’s growth. Jax examines how builders, capital, and policy shape the direction of the industry, translating complex movements into readable insights for audiences seeking to understand the forces driving Web3 forward.

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