XRP News Today: XRP Tethered Near $2.00 as ETF Inflows Clash with Whale Selling

XRP is testing key price levels around $1.90 to $2.00 on December 20, 2025, as the market weighs the strength of institutional demand against lingering selling pressure. The token has spent the past 48 hours in a tight trading range, hovering near the $2.00 psychological threshold without decisively breaking above it. ETF inflows into U.S. spot XRP funds have pushed total assets under management to roughly $1.2 billion, according to data aggregators.

Despite the ETF-driven demand, XRP has struggled to maintain consistent upside momentum, with reports citing selling pressure from large holders and profit-taking activity. This tension has kept the token from confirming a breakout above $2.00, a level that traders and analysts widely view as a near-term turning point. The market remains cautious, as many observers question whether ETF inflows alone can drive a sustained rally without broader adoption signals.

The current standoff between buyers and sellers highlights a broader debate within the XRP community.

On one side, ETF flows and growing institutional access are seen as tailwinds. On the other, concerns persist that supply-side selling—especially from long-term holders—could undermine price gains. This dynamic has led to a market that is "close enough" to $2.00 to remain in focus for traders, but not close enough to trigger widespread repositioning according to analysts.

Why the Standoff Happened

The recent volatility in XRP prices has reflected a tug-of-war between macroeconomic uncertainty and improving institutional access. While U.S. inflation data and Fed messaging have created a risk-off environment, XRP bulls point to ETF inflows as a stabilizing force. However, the same inflows have not translated into a strong price breakout, due in part to selling pressure from large wallets. Analysts have highlighted this as a key reason why XRP remains constrained near $2.00.

The technical picture is equally mixed. XRP has tested local resistance around $1.96 multiple times, with a decisive close above that level seen as a potential setup for another attempt at $2.00. But without a strong hold above $2.00, traders expect the token to remain in a consolidation phase, where buyers at $1.80 to $1.90 could counter any downward pullbacks.

How Markets Reacted

Market reactions have been shaped by broader macroeconomic forces and the performance of other crypto assets. U.S. inflation data and central bank messaging have led to choppy price action across the crypto space. For XRP, this has translated into a narrative where institutional demand and ETF inflows are positive but not necessarily enough to push the token into a new trend.

Meanwhile, the debate over XRP's long-term value versus short-term speculation continues. Some analysts argue that ETFs provide a steady bid but do not necessarily signal expanding real-world usage or adoption. Others see the growing infrastructure—such as new derivatives products and trust bank charter progress—as evidence that XRP is becoming a more institutionalized asset.

What Analysts Are Watching

Traders and analysts are closely monitoring several key factors that could determine XRP's near-term direction. The first is whether XRP can reclaim and hold $2.00, a level that could either trigger further buying or expose weakness if failed repeatedly. The second is whether ETF inflows continue at their current pace, with the $1.2 billion AUM mark serving as a critical reference point.

Another variable is the behavior of large holders. Reports suggest that some whales and legacy wallets are selling into strength, which could limit how far the price can rise even with strong ETF support. Analysts are also watching the broader macroeconomic environment, especially the Fed's approach to rate cuts and global central bank actions, as these factors influence risk appetite and capital flows into crypto assets like XRP.

Risks to the Outlook

While XRP has built a more institutional-friendly backdrop, several risks remain. One is the potential for renewed macro volatility if inflation readings or central bank messaging shift. Another is the possibility that ETF demand slows or faces regulatory headwinds, which could weaken the bid for XRP. Additionally, if selling pressure from large holders persists, it could undermine the token's ability to break above $2.00 and enter a new bullish phase.

The technical challenges are also real. XRP has shown limited conviction in holding above $2.00, and a failure to do so could lead to a retreat into the $1.80 support zone. This would create a scenario where the token remains range-bound, with ETFs and institutional interest helping to stabilize but not necessarily drive it higher.

What This Means for Investors

For investors tracking XRP in late 2025, the coming days and weeks will be crucial for assessing the token's potential trajectory. If XRP can hold above $2.00 and maintain ETF inflows, it could signal a shift toward a stronger, more sustained uptrend. Conversely, if the price falters and ETF inflows weaken, the token may return to consolidation until broader market conditions improve.

In the broader context, XRP's regulatory clarity and expanding infrastructure position it as a more mature asset compared to many other cryptos. However, its price action remains sensitive to macroeconomic factors and on-chain behavior, making it a high-interest but unpredictable play for both short-term traders and long-term holders.