ETF Inflows Cushion Decline As Sellers Defend Descending Trendline

• XRP holds the $1.80–$1.85 demand zone, but remains capped below the descending trendline.
• Persistent spot outflows continue to absorb ETF-driven demand near resistance.
• Record ETF inflows act as a price floor, not a catalyst for trend reversal.

XRP price today trades near $1.85 as the token stabilizes above a well-defined demand zone after months of steady downside pressure. The market is balancing record-setting ETF inflows against persistent technical weakness, leaving price pinned near support rather than breaking higher.

Descending Trendline Continues To Cap Recoveries

On the daily chart, XRP remains firmly below a descending trendline that has defined lower highs since the summer peak. Every rally attempt into this line has been sold, reinforcing that sellers still control the broader structure.

Price is holding just above the $1.80 to $1.85 support zone, an area that has repeatedly attracted bids throughout December. This level aligns with prior demand and marks the last line bulls have defended consistently.

The Supertrend remains bearish near $2.07, confirming that trend control has not shifted. Parabolic SAR dots continue to print above price, signaling that downside pressure remains active despite recent stabilization.

As long as XRP trades below the descending trendline and Supertrend, rallies remain corrective rather than trend-forming.

EMA Cluster Reinforces Overhead Supply

Shorter timeframes show why upside progress has stalled. On the two-hour chart, XRP trades below the full EMA stack, with the 20, 50, 100, and 200-period averages clustered between $1.85 and $1.93.

Each attempt to reclaim this zone has failed, turning the EMA band into a sell-on-strength area. Bollinger Bands have tightened, reflecting reduced volatility and continued compression.

This setup suggests the market is coiling, but direction remains unresolved. Buyers need a clean break and hold above the EMA cluster to shift momentum out of neutral-bearish territory.

Spot Flows Show Distribution At Resistance

On-chain data explains why price has struggled despite strong institutional demand. XRP spot netflows have remained negative for much of the year, including a $7.95 million net outflow recorded on December 27.

These persistent outflows indicate that existing holders are using rallies to distribute tokens back to the market. That sell-side activity has absorbed ETF-driven demand and kept price capped near resistance.

The pattern is consistent. ETF inflows stabilize price during selloffs, but they have not been large enough to overpower distribution from legacy holders.

ETF Inflows Act As A Floor, Not A Trigger

XRP’s ETF performance stands out across the digital asset market. Since launch, XRP ETFs have recorded 27 consecutive days with no net outflows, accumulating between $1.25 and $1.29 billion in assets under management.

Between 686 million and 746 million XRP tokens are now locked inside ETF structures. The most recent inflow, $11.93 million on December 24, extended the streak into the holiday period.

Yet price has not responded. The reason is structural. Many holders who accumulated above $1.86 remain underwater and are using strength to exit. Long-term holders are also locking in remaining gains after a volatile year, adding to overhead supply.

ETF buying has prevented a free fall, but without a broader shift in market sentiment or a reduction in sell-side pressure, it has not been enough to reverse the trend.

Outlook. Will XRP Go Up?

XRP is holding support, but the trend has not turned.

• Bullish case: A daily close above $1.93 that flips the EMA cluster into support would open the door toward $2.05 and a retest of the descending trendline. A break above $2.07 would mark the first structural shift since summer.
• Bearish case: A loss of $1.80 would invalidate the current base and expose the next demand zone near $1.65. Below that, downside risk accelerates toward prior consolidation levels.