XRP News Today: XRP Jumps Past $2 on ETF Inflows and Policy Optimism

Bullish medium-term outlook affirmed on Friday, January 2, as XRP reclaims $2.0 for the first time since December 15, 2025.

Speculation about a liquidity crunch, hinged on XRP-spot ETF demand, legislative developments, and increased utility, sent the token to $2.0. Two crucial price catalysts, these being XRP-spot ETF inflows and the progress of the Market Structure Bill, triggered a FOMO start to 2026.

Reports of Democratic SEC Commissioner Caroline Crenshaw departing the SEC boosted demand for crypto assets, signaling a bullish short- to medium-term price outlook for XRP.

Below, I will explore the key drivers behind recent price trends, the medium-term (4-8 weeks) outlook, and the key technical levels traders should watch.

US XRP-Spot ETF Market Reports Net Inflows

The US XRP-spot ETF market saw net inflows of $13.59 million on Friday, January 2, extending the weekly inflow streak to eight consecutive weeks.

Crucially, XRP-spot ETF issuers reported total net inflows of $1.18 billion since launch, tilting the supply-demand balance in XRP’s favor.

Demand for XRP-spot ETFs contrasted sharply with BTC-spot ETFs, which saw net outflows of $2.3 billion since the launch of the XRP-spot ETFs. Unlike the US BTC-spot ETF market, the XRP-spot ETF market has seen no outflow days since the launch of the Canary XRP ETF (XRPC) on November 14.

The divergence in spot ETF flows raised expectations of XRP decoupling from BTC and the broader crypto market. Crypto experts attributed real-world utility and the anticipation of crypto-friendly legislation to the robust demand for XRP-spot ETFs.

SEC Commissioner Crenshaw Departs the SEC

On Friday, January 2, the SEC announced Commissioner Caroline Crenshaw’s departure, lifting sentiment. Commissioner Crenshaw was the last member of the SEC supporting former President Biden and former Chair Gary Gensler’s anti-crypto policies.

She previously challenged SEC plans to drop its appeal against Ripple and the approval of crypto-spot ETFs. Her departure opens the door to a more crypto-friendly regulatory landscape, which is crucial for adoption and price trends.

Legislative developments set the stage for a bullish 2026. This week, reports of a Market Structure Bill markup on January 15 lifted hopes of crypto-friendly legislation within the first quarter.

XRP remains exposed to crypto-related regulatory developments given the resolution of the SEC vs. Ripple case in August 2025. For context, XRP soared 14.69% on July 17, 2025, after the US House of Representatives passed the Market Structure Bill to the Senate. The total crypto market cap advanced by a more modest 1.78% on the day. This week’s regulatory-related news affirms the constructive short- to medium-term bias.

XRP Outlook Increasingly Bullish

Robust demand for XRP-spot ETFs indicates the bullish short-term (1-4 weeks) outlook, with a $2.5 price target. Meanwhile, increased utility, a dovish Fed policy stance, and the Senate passing the Market Structure Bill reinforce the positive longer-term price paths:

• Medium-term (4-8 weeks): $3.0.
• Longer-term (8-12 weeks) $3.66.

Key Risks Challenge Bullish Outlook

Several events could derail the positive outlook. These include:

• The Bank of Japan announces a neutral interest rate of between 1.5% and 2.5%, suggesting multiple rate hikes. A higher neutral rate may result in a yen carry trade unwind, which could negatively impact risk assets.
• US economic indicators and the Fed are dampening expectations of a March rate cut.
• The MSCI delists digital asset treasury companies (DATs). Delistings are likely to temper interest in XRP as a treasury reserve asset.
• Lawmakers challenge the Market Structure Bill.
• XRP-spot ETFs report outflows.

These events would likely push the token toward $1.75, signaling a bearish trend reversal.

Technical Indicators Continue to Signal Caution

XRP rallied 6.76% on Friday, January 2, following the previous day’s 2.06% gain, closing at $2.0063. The token outperformed the broader crypto market cap, which climbed 2.09%.

Despite Friday’s breakout, XRP remained below the 50-day and 200-day Exponential Moving Averages (EMAs), indicating a bearish bias. While technicals remained bearish, bullish fundamentals are evolving, outweighing the technical structure.

Key technical levels to watch include:

• Support levels: $2.0, $1.75, and then $1.50.
• 50-day EMA resistance: $2.0422.
• 200-day EMA resistance: $2.3508.
• Resistance levels: $2.5, $3.0, and $3.66.

Looking at the daily chart, a break above the 50-day EMA would signal a near-term bullish trend reversal. A sustained move through the 50-day EMA would open the door to testing the 200-day EMA and the $2.5 resistance level.

A break above the EMAs would reaffirm the bullish medium-term outlook and the longer-term (8-12 weeks) $3.66 price target.

Fundamental Indicators: Fed, Legislation, and Spot ETFs

Near-term price drivers include:

• XRP-spot ETF flows.
• US economic indicators and the Fed rate path.
• US crypto-related regulatory headlines.

Holding Above $2.0 Key for the Bullish Structure

XRP’s break above $2.0 signaled a marked improvement in sentiment after avoiding sub-$1.8 since December 19. The current price dynamics reinforce the bullish structure and the constructive price bias.

A break above $2.2 would pave the way to the upper trendline. A sustained move through the upper trendline would validate the bullish structure and signal a bullish trend reversal, supporting the price targets:

• Medium-Term (4-8 weeks): $3.0.
• Longer-term (8–12 weeks): target of $3.66.

However, rejection at the upper trendline and a sustained break below the lower trendline would invalidate the bullish structure, indicating a bearish trend reversal.

Outlook:

Looking ahead, central bank policy cues, US economic indicators, crypto-related regulatory developments, and XRP-spot ETF flows will dictate near-term price trends.

Rising bets on a March Fed rate cut and dovish BoJ signals would likely boost demand for XRP. Robust inflows into XRP-spot ETFs and bipartisan support for the Market Structure Bill would bolster the bullish outlook.

In summary, increased institutional demand for XRP-spot ETFs and crypto regulatory headlines support a medium-term (4–8 weeks) move to $3.0. A March Fed rate cut and the Senate passing the Market Structure Bill would affirm the longer-term (8–12 weeks) price target of $3.66.

Looking beyond the medium term, these positive price catalysts are likely to send XRP beyond its all-time high $3.66, targeting $5 over a 6-12 month time horizon.