While the broader cryptocurrency market faces significant headwinds, a closer examination of XRP reveals a compelling divergence between short-term price action and deepening institutional commitment.
Market-Wide Pressure Masks Underlying Strength
As of December 18, 2025, XRP is trading near $1.86, having dipped to a low of $1.81 earlier in the day. This represents a 24-hour decline of up to 5%, mirroring a risk-off sentiment across digital assets. The sell-off is largely attributed to macroeconomic factors, specifically rising yields on Japanese government bonds which are fueling concerns over the unwinding of the yen carry trade. This dynamic is pressuring risk assets globally. Bitcoin, for instance, is consolidating around $86,800. Market-wide liquidations have reached $536 million, and the Crypto Fear & Greed Index sits at a score of 17, signaling “Extreme Fear”—a level historically associated with potential market inflection points.
For XRP, the decline in Open Interest suggests a flushing out of over-leveraged positions, with traders reducing exposure and less committed holders exiting.
Unbroken Institutional Demand Tells a Different Story
Beneath the surface volatility, institutional flows paint a starkly optimistic picture. U.S.-listed spot XRP exchange-traded funds (ETFs) have now recorded 30 consecutive days of net inflows since their launch in mid-November. This unwavering demand has propelled assets under management in these products to approximately $1.18 billion.
This trend stands in contrast to competing products; Bitcoin and Ethereum ETFs experienced multiple days of outflows over the same period. The sustained accumulation indicates that institutional investors are strategically adding XRP to portfolios, likely drawn by its established use case in cross-border payments and its relative regulatory clarity. Leading providers facilitating this inflow include Bitwise, Canary Capital, and Franklin Templeton.
Should investors sell immediately? Or is it worth buying XRP?
Stablecoin Milestone and Strategic Equity Move
Further evidence of ecosystem growth comes from Ripple’s stablecoin, RLUSD, which has surpassed a $1 billion market capitalization. This milestone positions RLUSD among the top five USD-pegged stablecoins by market value—a notable achievement for an asset that entered beta testing only months ago. Its rapid adoption underscores market demand for a compliant, native stablecoin deeply integrated with the XRP Ledger, increasingly used for institutional cross-border settlements and as a bridge to decentralized finance.
In a separate but significant development, a new joint venture between VivoPower and South Korean asset manager Lean Ventures has been finalized with the explicit goal of acquiring $300 million worth of equity in Ripple Labs. This vehicle targets private shares in the company itself, not XRP tokens. The structure is capital-efficient for VivoPower, which will act as the manager and originator rather than the direct purchaser. Over a three-year period, VivoPower aims to generate roughly $75 million in fees and performance incentives through this venture, which is tailored for South Korean institutional and private investors known for their strong affinity for the XRP ecosystem.
The Great Redistribution: Fear vs. Accumulation
On-chain data highlights this market dichotomy. While older wallet cohorts sold into the recent weakness around $1.81, ETF custodians have been consistent net buyers. Daily active addresses remain stable, supported in part by growing RLUSD utility within the network.
The disconnect between “Extreme Fear” in the retail segment and steadfast accumulation by institutional players points to a significant redistribution: coins are moving from short-term speculators to long-term holders.
The current spot price of $1.86 may reflect broad market pressure. However, the foundational infrastructure—$1.18 billion in ETF assets, an unbroken 30-day inflow streak, and a billion-dollar native stablecoin—narrates a story of resilience and maturation far removed from the day’s price chart.
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