The cryptocurrency sector opened the week under pressure, with XRP participating in the broader decline. The digital asset was trading near $2.02 on Saturday, marking a 24-hour loss of approximately 3-4%. Beneath this surface-level price action, however, significant developments are unfolding. Institutional investment is accumulating, and Ripple, the company closely associated with XRP, is achieving key regulatory milestones in Asia.
Institutional Flows and Regulatory Setbacks
A contrasting picture emerges when examining capital movements. Despite the falling spot price, XRP-focused investment products have attracted substantial institutional money. Spot ETFs recorded net inflows for 13 consecutive days, amassing a total of $874 million. Assets under management are now approaching the $1 billion threshold, a trend further supported by the November launch of the Bitwise XRP ETF on the NYSE.
This institutional interest exists alongside regulatory complexities. Asset manager CoinShares recently withdrew its US applications for spot ETFs on XRP, Solana, and Litecoin. This move suggests persistent regulatory or strategic challenges within the US landscape.
Price Action in a Correcting Market
The current weakness mirrors a broader market reset. Total cryptocurrency market capitalization has dipped slightly below the $3 trillion mark. Although Bitcoin has found stability above $89,000, its recent correction triggered liquidations exceeding $200 million. XRP followed this downward trajectory, erasing the roughly 10% gains it had posted since the beginning of the month.
From a technical perspective, the $2.19 to $2.29 range remains a critical resistance zone. Sustained trading below this level is likely to maintain selling pressure. The Relative Strength Index (RSI) reading of 28.8 indicates deeply oversold conditions. Meanwhile, the Crypto Fear & Greed Index sits at 28, reflecting “Fear” among market participants. Historical data shows that similar index levels in October 2025 preceded a 22% rally.
Should investors sell immediately? Or is it worth buying XRP?
Ripple’s Strategic Expansion in Asia
Beyond short-term volatility, Ripple is actively strengthening its global infrastructure. This week, the Monetary Authority of Singapore (MAS) granted the company an expanded Major Payment Institution license. This authorization enhances the network’s utility within Asia’s financial ecosystem, a pivotal region for cross-border settlement.
Ripple has also deployed significant capital to grow its ecosystem, investing around $4 billion in acquisitions over recent weeks. High network utility is evidenced by on-chain metrics like Ledger Velocity, which measures token movement between addresses. Data suggests XRP is being actively used rather than sitting idle in wallets.
Divided Analyst Perspectives
Market experts offer conflicting outlooks. Some chart analysts identify consolidation patterns that historically preceded major price advances. Conversely, critics highlight valuation concerns. Investor Simon Dedic includes XRP among five “overvalued” altcoins, pointing to its Fully Diluted Valuation of $210 billion alongside what he views as relatively modest innovation.
The $2.02 level currently serves as crucial support. A failure to hold here could precipitate further declines. Conversely, a decisive breakout above $2.19 has the potential to conclude the correction phase and initiate a recovery.
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