The cryptocurrency market remains a fascinating yet perplexing space for investors. XRP, one of the leading digital assets, has continued its trajectory of price stagnation despite the rising popularity of exchange-traded funds (ETFs) focusing on the token. This phenomenon has sparked curiosity and confusion among market participants, especially with growing headlines outlining institutional interest and ETF inflows.
Decoding the Current XRP Price Trend
According to a recent insight from cryptocurrency analyst Zach Rector on the Paul Barron Podcast, the lack of movement in XRP’s price isn’t entirely unexpected. He attributes this to a ‘sell-the-news’ reaction, a common pattern following major ETF launches. While these ETFs are seeing significant inflows, Rector highlights a crucial aspect—most of these transactions occur over the counter (OTC), rather than on public exchanges where they would directly impact XRP’s price.
Rector shared some compelling data to illustrate this point. For example, in November, approximately $803 million poured into XRP ETFs. However, simultaneously, around $808 million worth of XRP was sold on centralized exchanges. This selling pressure effectively counteracted the demand originating from the ETFs. The dynamics underline why public exchange prices remain subdued despite strong institutional interest.
What Needs to Change for Ripple Effects?
For investors eagerly watching the market, the key lies in ETF inflows transitioning to public exchange activity. As Rector emphasized, “When ETF inflows move onto exchanges, that’s when things change — that’s when buying becomes aggressive.” This shift would likely inject higher momentum into XRP’s price action and rekindle investor enthusiasm.
Looking back, historical data reveals how quickly sentiment can influence XRP’s market cap. Case in point: In November 2024, the token’s market cap surged by nearly $100 billion in a single month due to strong inflows. Conversely, November 2025 witnessed a $41 billion market cap decline, driven by exchange outflows. These dramatic shifts serve as a reminder of the volatile yet opportunistic nature of the cryptocurrency space.
Analyst Projections: Will XRP Dip Below $1?
One major question looming over the market is whether XRP’s price could plummet below the $1 mark. Rector gave an emphatic response, stating, “Not a chance. It would take a massive black swan event.” He backs his confidence with market fundamentals, noting the token’s deep liquidity, robust passive buying activity, and a strong base of long-term holders ready to capitalize on dips.
Moreover, large buy orders already exist around key support levels. For instance, some investors, including Rector himself, have placed buy orders at $1.91, anticipating consolidation in the near term. XRP has consistently set higher lows over the past year, with critical thresholds marked at $1.60 in April, $1.77 in October, and $1.81 in November. These markers further validate the token’s resilience.
Exploring Crypto Research Tools
If you’re a cryptocurrency enthusiast or investor looking to deepen your analysis, explore platforms like the CoinPedia, a trusted source for blockchain news and updates since 2017. The platform’s expert panel ensures accurate and timely information tailored to help investors navigate the complexities of the market.
Conclusion
While XRP’s price movement may currently seem stagnant, the underlying market mechanics paint a picture of growth, adoption, and resilience. With ETF interest surging and historical data underscoring the potential for rapid sentiment shifts, XRP remains a digital asset worth monitoring. However, always exercise caution and conduct your own research before making any investment decisions in the volatile world of cryptocurrencies.
