
Analysts attribute this surge to regulatory clarity and cross-border utility, which continue to support long-term accumulation in spot $XRP ETFs.
$XRP ETF Volume Trends and Market Sentiment
While Bitcoin and Ethereum ETFs saw money leaving in December, $XRP ETFs continued to attract investors. They have recorded 29 days in a row of inflows, with a total of $1.15 billion added since their launch.
In December alone, $478 million flowed into these funds. On some days, spot $XRP ETF trading volumes even exceeded $30 million, locking up around 750 million $XRP. Analysts say this growing demand could reduce the amount of $XRP available on exchanges, which may put upward pressure on the price.
Institutional Demand vs. Supply Shock Theory
Despite the strong inflows into $XRP ETFs, some people have wondered if this could cause a “supply shock” and push prices up sharply.
However, industry expert Morgan pointed out that
“$XRP held in spot ETFs is less than 1% of the total supply,” which is too small to limit circulation in any meaningful way.
He added that exchanges still hold large reserves of $XRP, and tokens can be quickly moved to trading platforms whenever needed.
Validator Vet also dismissed the idea, saying ETF accumulation is
“unlikely to create any lasting scarcity.”
The growing number of spot crypto ETFs, including Grayscale’s $XRP ETF, shows that institutional interest in regulated digital assets is rising.
$XRP Price Analysis
$XRP Price is currently trading near the lower boundary of a descending channel, a level often associated with accumulation before bullish continuation. Technical indicators suggest the potential for a bounce toward key resistance levels at $2.00, $2.30, $3.00, $3.37, $4.00, and $5.00.

Ripple $XRP is displaying a strong impulsive rally, followed by extended consolidation and a controlled downtrend. Current compression near key support signals early positioning by institutional investors before the next directional move.
Key Levels to Watch
- Break below $1.80: Downward momentum may accelerate, with an initial target range of $1.60–$1.50.
- Sustained recovery above $2.00: Could invalidate the current bearish structure and support medium-term bullish potential.
With more institutional inflows and supply gradually tightening, $XRP pricecould gain momentum in the early months of 2026, potentially affecting the broader crypto market, including Bitcoin and Ethereum.