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Ripple’s legal clarity removed a major barrier but did not trigger an instant XRP price breakout.
XRP ETFs crossed $1.3 billion in assets, showing strong institutional interest in a short time.
XRP price in early 2026 remains range-bound due to profit-taking and cautious market sentiment.
XRP entered 2026 with very high market expectations. Ripple secured a major legal win, spot XRP exchange-traded funds raised more than $1.3 billion, and major financial institutions started sharing bullish outlooks.
Even with all this positive news, XRP price has not moved up strongly. Instead, price is moving sideways and struggling to hold rallies. This situation has confused many market watchers.
Ripple’s long legal fight with US regulators was one of the biggest problems for XRP for many years. The case-limited exchange listings scared away large investors. In 2025, the dispute ended with a settlement that clearly favored Ripple. The fine was much smaller than first expected, and XRP was no longer treated as an unregistered security for regular trading.
This result removed a big cloud over XRP. Financial institutions in the United States could now deal with XRP without fear of legal trouble. This also opened the door to regulated investment products, like ETFs, that were not possible before.
Spot XRP ETFs launched in late 2025 and grew very fast. In just a few weeks, total assets under management crossed around $1.3 billion. December alone saw about $483 million in inflows, indicating strong institutional interest. Compared to other altcoins, XRP ETFs became popular much more quickly.
ETF inflows matter because they pull XRP from exchanges and move it into long-term storage. This usually reduces selling pressure. In theory, lower supply and higher demand should drive prices higher, but the impact is not always immediate.
Also Read: XRP ETFs Hit $1 Billion: What’s Next for XRP Price in 2026?
XRP price is showing mixed signals at press time. There were short rallies, with the asset moving above $2.30 on some days, supported by strong ETF trading volume. However, these moves did not last long. At each rally, selling pressure pushed the price back down.
This shows that the market is still trying to find a fair value. Many older holders used price jumps to take profits. At the same time, new buyers were careful and waited for stronger confirmation before buying heavily.
One major reason is expectations. The legal win and ETF approvals were already priced in months before they happened. When the news became official, there were fewer fresh buyers left. This often happens in financial markets, where prices move before the event, not after.
ETF structure also plays a role. Market makers and arbitrage traders keep prices stable by buying and selling quickly. This limits sudden price jumps. While ETFs bring demand, they also reduce volatility in the short term.
Another factor is the global market mood. Early 2026 has seen uncertainty in stocks, interest rates, and geopolitics. Crypto assets, including XRP, are still moving with wider risk markets. When investors feel nervous, they avoid aggressive buying.
Despite slow price action, some major banks remain positive on XRP. One large international bank has predicted XRP prices will be much higher by the end of 2026. Their view is based on regulatory clarity, ETF growth, and XRP’s role in cross-border payments.
These forecasts assume that more banks and payment companies will start using XRP-based systems. They also expect ETF inflows to continue as crypto becomes more accepted in traditional portfolios. These predictions are not guaranteed, but they show growing confidence.
There are still risks that can hold XRP back. Regulatory issues outside the United States could create problems. New rules or enforcement actions in other regions may scare investors again.
Fund concentration is another risk. If only a few big players control most ETF inflows, sudden changes in their strategy could impact prices badly. A pause in demand could quickly change the market mood.
Global economic shocks are also a concern. If markets turn risk-off, investors may sell crypto assets, even strong ones like XRP.
ETF flow data is now very important. Weekly inflow numbers will show if demand is real and long-lasting. If inflows continue, it will support XRP price over time.
On-chain data is also being watched closely. Lower exchange balances and more XRP moving into ETF-related wallets would signal reduced supply. Regulatory updates, interest rate decisions, and overall market sentiment will continue to affect XRP throughout 2026.
Also Read: XRP Price Prediction: Could $5,000 Turn Into $50,000 by 2030?
XRP’s struggle in early 2026 does not mean failure. Ripple’s legal win and $1.3 billion ETF inflows are major achievements. But markets take time to adjust after big changes.
XRP is at an impasse between strong long-term potential and short-term caution. Whether this phase turns into a strong rally or long consolidation depends on ETF demand, market conditions, and real adoption. Investors are still acting cautiously as the asset hasn’t shown complete signs of recovery.
What was Ripple’s legal win about?
Ripple resolved its long-running case with US regulators, reducing legal risk around XRP trading.
Why are XRP ETFs important?
XRP ETFs allow institutions to invest easily, pulling large amounts of XRP from exchanges.
Why hasn’t XRP price surged despite the good news?
Much of the positive news was already priced in, and broader market uncertainty slowed momentum.
How much money has flowed into XRP ETFs so far?
XRP ETFs have attracted around $1.3 billion in assets since launching in late 2025.
Can XRP price rise later in 2026?
Yes, if ETF inflows continue and market conditions improve, higher XRP prices are possible.
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