Introduction to XRP’s Recent Price Movement
The cryptocurrency market has shown signs of a rebound, with Bitcoin (BTC) reclaiming the $87,000 price level after its recent dip to sub-$85,000 levels. Ripple’s XRP token is also following the market rebound. According to CoinGecko data, XRP has rallied 5.6% in the daily charts. Despite the turnaround, XRP is still trading in the red zone in the other time frames. The asset’s price has fallen 4.8% in the weekly charts, 6.4% in the 14-day charts, 6.4% over the previous month, and 16.6% since December 2024.
XRP Price Chart Analysis
The current price movement of XRP can be seen in the price chart below.
Source: CoinGecko
Factors Influencing XRP’s Price Rally
XRP’s latest price rally follows the Bank of Japan’s recent interest rate hike. The central bank raised rates to their highest levels since 1995. The market rally is surprising, given that rate hikes often lead to funds moving away from risky assets, such as cryptocurrencies. However, XRP’s rally could be due to increased ETF inflows. XRP ETFs saw approximately $30 million in inflows on Thursday, Dec. 18, 2025. ETF inflows have played a key role in the market cycle of 2025. Bitcoin (BTC) and Ethereum (ETH) climbed to new peaks in 2025 due to high ETF inflows. A similar pattern could emerge for XRP as well.
Will XRP Reclaim the $2 Mark?
Another reason for XRP’s rally could be that investors are buying the dip. The asset’s price fell to $1.77 on Dec. 17, the lowest price level since April of this year. The cheap rates may have become attractive to investors buying for the long term. While the rally is welcome, it is unclear if XRP can reclaim the $2 mark or not. The market is still quite fragile, and fresh volatility could wreak havoc at any moment. Given that investor sentiment is still down, there is a high chance that we are looking at a dead cat bounce and are nowhere near the end of the bear market.
XRP’s Future Prospects
Source: Watcher.Guru
Conclusion
In conclusion, XRP’s recent price rally is a welcome sign for investors, but it is still unclear if the asset can reclaim the $2 mark. The market is fragile, and fresh volatility could affect XRP’s price at any moment. Increased ETF inflows and investors buying the dip may have contributed to XRP’s rally. However, the bear market is not over yet, and investor sentiment is still down. Only time will tell if XRP can continue its current rally and reach new heights.
