XRP Price Consolidates Near $2 as Channel Resistance Limits Upside Momentum

XRP Price Dips to $2 After January Highs as ETF Flow Swings Shape Short-Term Direction
XRP Price Consolidates Near $2 as Channel Resistance Limits Upside Momentum
Written By:
Kelvin Munene
Reviewed By:
Atchutanna Subodh
Published on

XRP price started January 2026 with a rebound attempt but remained capped below $3. Supply returned near well-watched resistance, and demand failed to sustain upside momentum. ETF flow shifts and rising stablecoin supply on the XRP Ledger add context to that ceiling.

XRP price trades around $2 after a four-day decline from the January 6 area near $2.41. Traders now watch closely whether support holds or whether price tests lower demand zones.

XRP Price Resistance Draws Profit-Taking at Repeat Levels

XRP price lost the $3 level in 2025. That break shifted behavior toward selling into rebounds rather than building fresh longs.

Price action showed repeated rejections as XRP price climbed into prior sell zones. Late October rejected near $2.65, and early November faded near $2.52. Late November also stalled near $2.22 before the price stabilized closer to $1.80.

The latest bounce carried XRP price toward $2.35 and met renewed selling. ETF flow data also showed about $40 million in net outflows on January 7. That marked the first net outflow day since the ETF launch period.

Those outflows arrived as traders protected gains after the early-January surge. As a result, XRP price struggled to convert resistance into support.

Descending Channel Keeps XRP Price Rallies Contained

A descending channel has guided XRP price since mid-2025 and continues to cap recoveries. Each upswing tends to meet supply near the upper boundary, which limits follow-through.

After XRP price reclaimed $2 in early January, it moved toward $2.35 near channel resistance. Momentum slowed in that area, and sellers regained control. 

XRP price reclaimed $2 in early January

Support near $2 remains the near-term pivot for XRP price. If buyers lose that level, the $1.80 demand zone returns as the next key area. According to CoinsKid’s analysis, he identified $1.14 as a key accumulation area within a larger ABC correction.

Moreover, XRP price remains above its 50-day EMA and a Supertrend marker in recent sessions. Analysts also track a falling-wedge structure that can precede rebounds after pressure eases.

XRP ETF Flows and XRPL Stablecoin Growth Frame Demand

ETF activity suggests investors still react to dips rather than exit outright. After the January 7 outflow, products recorded net inflows again on January 8. That move reduced the prior day’s pressure.

Policy headlines still matter for XRP price expectations in 2026. Congress has a market-structure proposal on the table through the CLARITY Act text. Separately, the White House has referenced an executive order tied to federal digital asset reserves.

On-chain usage metrics show growth on the XRP Ledger. Stablecoin supply on XRPL has climbed above $406 million after a sharp weekly increase. RLUSD accounts for much of the rise, with supply around $332 million in the latest data.

If XRP price stabilizes above $2, traders will likely refocus on $2.41 and then $3. If selling resumes, the market will test the support zones that drew buyers during earlier declines. 

Join our WhatsApp Channel to get the latest news, exclusives and videos on WhatsApp

Related Stories

No stories found.
logo
Analytics Insight: Latest AI, Crypto, Tech News & Analysis
www.analyticsinsight.net