XRP is currently caught in a tense battle between a wave of new institutional demand from recently launched ETFs and persistent selling pressure in the market. While the debut of regulated funds marks a historic milestone, the token’s price is struggling to find decisive momentum as it hovers around the critical $2.20 level.
A Landmark Week for Institutional Adoption
The third week of November 2025 proved to be a pivotal moment for XRP, as several major asset managers launched spot ETFs on U.S. exchanges, providing a regulated gateway for institutional investment. Franklin Templeton’s XRPZ and Grayscale’s GXRP began trading on November 24, with Grayscale converting its existing trust into an ETF structure.
The demand was immediate and substantial. On their first day of trading alone, these new ETFs attracted a collective net inflow of approximately $164 million. This surge contributed to total assets in XRP investment products climbing to around $628 million. This institutional interest starkly contrasted with the broader crypto market, which saw significant outflows from Bitcoin and Ethereum funds, making XRP a notable exception. This influx is a powerful signal of legitimacy, with Franklin Templeton itself describing XRP as playing a “foundational role in global settlement infrastructure”.
Market Forces in a Tense Standoff
Despite the strong institutional vote of confidence, XRP’s price has been contained by several powerful counteracting forces.
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Significant Selling Pressure: Almost in direct response to the ETF-fueled optimism, large holders, often called “whales”, moved to take profits. Reports indicate that within a 48-hour window around the ETF launches, these whales sold between 180 and 200 million XRP, creating a powerful wave of selling pressure that effectively neutralized the positive impact of the new inflows.
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A Precarious Technical Position: The price action has left XRP at a technical crossroads. The $2.20 level has become a key tactical battleground. Analysts note that for a sustained bullish move to begin, the price needs to achieve a decisive break above the resistance cluster between $2.24 and $2.38. On the downside, holding the support between $2.03 and $2.05 is critical; a break below this zone could open the path toward $1.91 or lower.
The Path Forward for XRP
The current standoff between institutional buyers and profit-taking sellers has resulted in a neutral short-term trend. Momentum indicators like the Relative Strength Index (RSI) show the market is in a state of balance, suggesting a period of re-accumulation rather than decisive movement in either direction.
Looking ahead, the market is watching two key factors. First, the sustained flow of capital into the new ETFs will be crucial. If inflows continue, they could eventually absorb the available sell-side liquidity and create upward pressure. Second, all eyes are on the $2.20 support level. A sustained hold above this line, coupled with a break above key resistance, could validate the bullish thesis and signal the start of a new upward leg.
