ETF inflows and shifting U.S. policy expectations drive XRP gains while broader crypto market lags
XRP has recorded a sharp upside move at the start of 2026, climbing more than 8% to trade above the $2 level for the first time since mid-December. The rally reflects growing investor confidence tied to regulatory developments in the United States and sustained inflows into newly launched exchange-traded funds.
Spot XRP exchange-traded funds in the U.S. attracted $13.59 million in net inflows on January 2, pushing total inflows since launch to $1.18 billion. This steady capital allocation suggests institutional participation rather than short-term speculation. Analysts note that ETF activity has become a key liquidity driver for XRP, helping support price levels during periods of broader market consolidation.
Regulatory Shift Supports Market Sentiment
Market participants are also responding to the departure of SEC Commissioner Caroline Crenshaw, which is widely viewed as opening the door to a more crypto-friendly regulatory stance. This development has strengthened expectations for clearer rules around digital assets, particularly tokens that have faced prolonged legal uncertainty.
While XRP surged, bitcoin remained just above $90,000 and ether traded near $3,000, both showing only modest gains. Weaker demand for bitcoin-focused funds during the same period reinforces the view that XRP’s rally is driven by token-specific catalysts, not a broad risk-on move.
With ETF inflows remaining stable and regulatory sentiment improving, XRP’s price action suggests growing confidence among both institutional and retail traders as 2026 begins.
Disclaimer
This content is for informational purposes only and does not constitute financial, investment, or legal advice. Cryptocurrency trading involves risk and may result in financial loss.