XRP Defends $2 Psychological Support as Institutional ETF Inflows Hit $1.4 Billion Amid Senate Markup Tensions
XRP (XRP) is currently trading around $2.00, down 4% in the last 24 hours. This is because people are being careful ahead of the US Senate
Quick overview
- XRP is currently trading around $2.00, down 4% in the last 24 hours due to market caution ahead of the US Senate Banking Committee's markup of the Market Structure Bill.
- Despite broader market weakness, XRP has seen significant institutional inflows, gaining $45 million weekly, indicating strong demand for its ETFs.
- Analysts suggest that XRP's price stability is due to a balance between buyers and sellers, with key resistance at $2.40 and support at $2.00.
- The upcoming legislative developments could significantly impact XRP's price direction, with potential for either a bullish breakout or profit-taking.
XRP XRP/USD is currently trading around $2.00, down 4% in the last 24 hours. This is because people are being careful ahead of the US Senate Banking Committee’s markup of the Market Structure Bill on January 15. The price movement of the token shows that the market is stuck between strong institutional inflows and uncertainty about new laws that could change how cryptocurrencies are regulated.
XRP ETF Flows Counter Broader Market Weakness
XRP has shown amazing strength in the face of problems in the wider market. Digital asset markets lost almost $454 million in one of the worst weeks since mid-2023. However, XRP gained $45 million in weekly inflows, which is more than 400% more than the previous week. This big difference shows that institutions are confident, even when the overall market isn’t.
XRP exchange-traded funds have brought in more over $1.2 billion since they started in November 2025. They have had net inflows every day but one. XRP has stayed above the psychologically important $2 level because there has been a lot of demand for ETFs, even while liquidity has been worse in other parts of the crypto market.
Matt Hougan, the chief investment officer of Bitwise, said that the XRP ETF flows are stronger than he expected, considering the current state of the market. He did say, though, that XRP’s performance in 2026 will depend on how well it is executed, not on speculation.
XRP/USD Technical Structure Suggests Range-Bound Consolidation
XRP got back above its 50-day simple moving average in early January, which could mean that the trend is about to change. The coin is now trading above this important level at about $2.08, while the 200-day exponential moving average is at $2.33, which acts as a barrier above.
According to CryptoQuant statistics, the market is in a good place. On Binance, the trading volume Z-scores are about 0.44, which is slightly higher than the 30-day average but still in neutral area. This means that XRP’s present price stability is more likely due to a balance between buyers and sellers than too much speculation, which is a common pattern during accumulation phases.
CrediBULL Crypto, a market analyst, found a “triple tap” pattern near the top of the range. This means that there are two possible outcomes: a return to $1.77 inside a bigger rally, or a defended base around $2 where buyers keep buying dips. Based on how institutions are moving their money, the analyst thinks an uptrend that targets about $3 is more likely.
Dom, a futures trader, stressed that real positive confirmation needs acceptance above $2.40, though. XRP’s surge stopped just below this level on January 6, when the token was turned down after more than $100 million in net whale selling between January 4 and 7. A sustained advance above $2.40 would show real strength and could start a move toward the mid-$2 level.
Legislative Developments Create Binary Risk Scenario
The US Senate Banking Committee’s Market Structure Bill has become a key factor in XRP’s short-term direction. Coinbase CEO Brian Armstrong said that his company can’t support the measure as it is drafted because he is worried about the SEC having more power over the CFTC. The wording of the bill that came released on January 13 got mixed opinions.
Armstrong’s complaint is mostly about parts of the bill that potentially give the SEC more regulatory power. This is especially important for XRP because Ripple has been in a long legal struggle with the agency. After Judge Torres ruled in 2023 that programmatic XRP sales did not meet the Howey Test criteria for securities classification, the SEC dropped its appeal in August 2025.
Ripple CEO Brad Garlinghouse, on the other hand, gave a more positive review, calling the Banking Committee’s work a “huge step forward” and admitting that there are still problems that need to be fixed during the markup process. This difference of opinion among industry professionals shows how complicated the bill is and how it could affect different market participants.
XRP rose by around 15% after earlier legislative advances, showing that the coin is quite sensitive to changes in US regulations. The markup on January 15 is a binary event that might either confirm the recent rise or cause people to take their profits.
XRP/USD Price Targets and Key Technical Levels
Analysts have set up the following framework for XRP based on its current technical structure and fundamental drivers:
Support Levels:
- $2.00 is the main support level (psychological level and 50-day EMA convergence).
- Secondary support is between $1.77 and $1.80, which are the lowest points in the range.
- Important support: $1.50 (level of invalidation)
Resistance Levels:
- Immediate resistance is at $2.40, which is the most recent rejection zone.
- Resistance at the 200-day EMA is $2.33.
- Target for the medium term: $3.00 (4–8 weeks)
- Long-term goal: $3.66 (8 to 12 weeks from now, the previous all-time high)
If XRP breaks over $2.40 with steady volume, it will confirm a bullish structure and possibly let XRP challenge the $3 mark in the medium term. On the other hand, if the price drops below $2, the lower trendline will come into view, and the $1.75–$1.80 support zone may be tested again.
XRP/Gold Ratio Signals Potential Reversal
Market researcher Steph is Crypto pointed out that the XRP/Gold ratio has reached a historical support zone at 0.0004, in addition to price action in dollars. In the past, this level has come before big rallies, such ones that saw gains of more than 800% in 2020, 120% in 2022, and 530% in 2024.
The Relative Strength Index for the XRP/Gold ratio is currently at 33.38, which means that the market is oversold, just like it was at the bottom of the last cycle. If past trends hold true, the expert thinks that the price might rise from its current level to above 0.0018, which would be a gain of more than 350%.
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