Quick overview

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Ripple’s XRP couldn’t stay above the psychologically significant $2 support zone despite these favorable fundamentals.

 

The Ripple-linked XRP token is consolidating following a robust start to 2026. Monday saw XRP fall below $2 for the sixth consecutive day.

The asset’s value was $1.95, down 0.3 percent from the previous day. With Bitcoin falling below $92,000 and Ether (ETH) testing support at $3,000, the correction affects the entire cryptocurrency market. ‘

The drop followed  President Donald Trump rekindling trade tensions by threatening to impose new tariffs on Denmark and other European nations. Bitcoin accounted for $220 million of the over $873 million in long positions that were liquidated. $38 million.

Interestingly, XRP’s withdrawal coincides with both growing institutional demand and better regulatory circumstances.

Ripple recently received preliminary approval for an e-money license in Luxembourg to expand its regulated digital-asset payment services throughout Europe.

The San Francisco-based business is also applying for a CASP license under the EU’s MiCA framework to position the XRP ecosystem to operate within the bloc’s new regulatory framework

Institutional appetite is comparatively stable in the interim. Since their launch in November 2025, Spot XRP ETFs have continued to attract investors, with only one withdrawal day and cumulative net inflows of about $1.28 billion. XRP has also seen a significant increase in on-chain demand as evidenced by the spike in transactions to a six-month high last week.