XRP continues to trade under pressure as broader crypto market weakness weighs on prices. The token remains in a short-term downtrend, driven in part by macro bearishness and in part by deep investor skepticism.
Nevertheless, Ripple’s operations continue to make progress and may provide long-term support for XRP price stability and recovery.
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RLUSD listed on Binance
Ripple recently confirmed that its US dollar-backed stablecoin, RLUSD, has been listed on Binance. This listing expands the visibility and accessibility of RLUSD. This is important as stablecoin adoption accelerates across global markets. Increasing usage typically strengthens the relevance of the issuance ecosystem within the digital payments and payments infrastructure.
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RLUSD currently operates on the Ethereum network, but there could be significant expansion to the XRP Ledger in the future. Integration with XRPL increases on-chain utility, transaction demand, and network activity. With this development, Ripple stands to benefit from the growth of tokenization and cross-border payments, indirectly supporting the fundamental outlook for XRP.
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XRP holders are selling
Despite these advances, XRP holders remain cautious. According to on-chain data, net realized gains and losses have turned negative in recent sessions. Investors have been selling XRP below their acquisition price, but this behavior is often associated with fear of further declines rather than confidence in a short-term recovery.
This loss realization reflects the hesitation of retail participants. Continuing to sell on weakness can slow the change in momentum, even if fundamentals improve. Until investor confidence stabilizes, XRP may struggle to translate advances in Ripple’s ecosystem into immediate price increases.
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Large wallets remain bullish on XRP
Institutional behavior provides contrasting signals. For the week ending January 16, XRP recorded $69.5 million in institutional inflows. Although XRP is still in a downward trend, inflows since the beginning of the month have reached $108.1 million. Such consistency suggests that large investors maintain long-term conviction.
Because these participants tend to accumulate during pessimistic periods, institutional flows often precede trend reversals. Continued inflows provide liquidity support and reduce downside risk. This disconnect between retailers’ caution and financial institutions’ confidence could help XRP establish a recovery foundation.
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XRP price needs to break out of downward trend
XRP is trading around $1.96 at the time of writing, remaining below the active downtrend line for over two weeks. Although technical pressures persist, improving fundamentals and institutional demand have increased the likelihood of a breakout. A break out of a downtrend would signal an important change in short-term momentum.
If a move above the downtrend line is confirmed, XRP could break above the psychological level of $2.00. A clearing of $2.03 could pave the way to $2.10. If momentum builds, a recovery target around $2.35 will be within reach in the near future.
If XRP fails to regain $2.00, the bullish scenario weakens. A rejection at this level could lead to renewed selling pressure. Under that outcome, the XRP price could fall below $1.86, invalidating the bullish theory and extending the existing downtrend.
