Gate News Bot Message, January 26, According to CoinMarketCap行情, as of press time, XRP (XRP) is currently trading at $1.87, down 2.32% in the past 24 hours, with a high of $2.03 and a low of $1.81. The 24-hour trading volume reached $2.859 billion. The current market capitalization is approximately $113.586 billion, ranking 5th in the global digital asset market cap.
Analysis of Recent Key Market Drivers for XRP
1️⃣ Continuous Net Inflows into Spot ETF Funds Provide Solid Support for Price
The US XRP spot ETF has maintained stable net inflows over the past week. On January 23, a single-day net inflow of $3.43 million was recorded, with the Bitwise XRP ETF contributing the entire amount, bringing total net inflows to $319 million. On January 22, net inflow was $2.09 million, solely from Franklin XRP ETF XRPZ. On January 21, net inflow was $7.16 million, with Bitwise XRP ETF adding $5.26 million and Franklin XRP ETF XRPZ adding $1.06 million. As of the report, the total net asset value of XRP spot ETFs ranges from $1.36 billion to $1.39 billion, with cumulative net inflows reaching $1.23 billion. Although XRP prices have recently adjusted, institutional investors’ demand through ETF channels remains relatively stable, indicating that institutional capital’s medium- to long-term valuation outlook for XRP has not fundamentally changed. This structural demand provides an important foundation for price support at key levels.
2️⃣ Market Sentiment at Extreme Fear Level and Historical Signals Coexist, Rebound Window May Be Brewing
On-chain data platforms show that after XRP’s peak in early 2026, the market sentiment has fallen into the “extreme fear” zone, with nearly 20% correction. Currently, XRP is trading below $2, with retail investor confidence significantly impacted. The positive-to-negative sentiment ratio has continued to decline from 1.873 on January 20 to about 1.794, reflecting increasing pessimism about Ripple’s prospects. However, multiple historical indicators are sending potential contrarian signals, suggesting a rebound window may be forming. Looking back to January 2, 2026, XRP quickly recovered from prior declines in an extremely fearful environment, then rose approximately 29% in a short period to reach a yearly high of $2.41. After the sentiment collapse on January 18, XRP also experienced a rapid rebound. These cases show that when the market is uniformly bearish, it often creates space for contrarian moves. As Ripple executives are scheduled to speak at Davos, market expectations for sentiment recovery are rising.
3️⃣ On-Chain Settlement Applications for Real Assets Accelerate, XRP Supported by High-Value Functional Demand
Dubai launched a government-backed real estate trading platform allowing investors to buy and trade real estate shares via blockchain, with XRP directly used as the core settlement tool. This is the first major case of high-value real-world assets being split, traded, and settled on-chain in a compliant manner. In this application, XRP is no longer just a trading asset but becomes a direct settlement medium for property share transactions. Leveraging XRP Ledger’s high throughput and low transaction costs, property token transfers and settlements can be nearly real-time, providing a clear demand for XRP in real finance and gradually shifting it from a speculative asset to a functional financial infrastructure.
4️⃣ Ripple’s EU Regulatory Framework Improves, Payment Infrastructure Moving Toward Commercial Scale
Ripple has received preliminary approval for an Electronic Money Institution (EMI) license from the Luxembourg Financial Industry Supervisory Commission, issued as a “green light letter,” laying the groundwork for Ripple to offer broader payment services within the EU once final compliance conditions are met. Coupled with the earlier FCA license in the UK, Ripple is establishing a dual regulatory framework to more efficiently promote cross-border payments, stablecoin applications, and asset tokenization settlement in key European financial markets. The global financial system is transitioning from a “trial phase” of blockchain to an “industrial era.” As the EU is a leading jurisdiction in establishing comprehensive digital asset regulation, this certainty helps financial institutions advance blockchain from pilot projects to commercial scale. This progress directly enhances XRP’s practical application scenarios in on-chain financial infrastructure, providing regulatory certainty for institutional payment needs.
5️⃣ Evernorth IPO Preparation Advances, Expanding Institutional Access to XRP Asset Securitization Channels
Ripple-supported XRP treasury entity Evernorth plans to launch its IPO in Q1 2026 via a SPAC merger on NASDAQ, with the trading code XRPN. The company holds 388 million XRP tokens, currently valued at about $812 million. The CEO stated that the company has a suitable regulatory environment, government support, and readiness to adopt institutional investors. Evernorth not only offers direct XRP exposure but also handles custody, compliance, and security obligations, representing a significant step forward for institutional XRP holdings. This development will further strengthen XRP’s status as a regulated financial asset, building a long-term bridge between traditional finance and the XRP ecosystem, and expanding pathways for institutional investors to access XRP.
6️⃣ On-Chain User Base Expansion Deepens, Wallet Growth Reflects Increased Ecosystem Participation
Since mid-December 2025, the number of wallets holding XRP has increased by over 25,000, setting a new monthly growth record. This growth spans all address segments from the top 0.1% to the top 10%, indicating that funds of all sizes are adding to or entering the market. The total number of XRP wallets has grown from 7.41 million to over 7.51 million, with about 99,000 new addresses added in the past month alone. Since the low of $1.84 on December 17, 2025, XRP has rebounded approximately 14%. The increase in wallet count alongside price suggests expanding demand fundamentals, helping to ease selling pressure and enhance price resilience, providing a long-term user base to defend key support levels.
7️⃣ Australian Trading Volume First Surpasses Bitcoin in Four Years, Market Functionality and Recognition Improve
XRP has achieved a key breakthrough in the Australian crypto market, becoming the highest-traded digital asset on that platform, leading Bitcoin for the first time in trading activity in nearly four years. Strong local community support and the deep integration of XRP with Ripple’s ODL cross-border payment system are key reasons for its rapid volume growth. From an asset perspective, XRP’s appeal is not solely due to price volatility but also its practical use in low-cost, high-efficiency cross-border payments. As regulatory clarity improves, network usage increases, and community engagement strengthens, trading volume continues to grow. This shift reflects a market moving from early speculative stages toward more rational, function-driven development.
8️⃣ Market Hotness Remains High, XRP Enters Mainstream Attention Sequence
According to Gate.io’s heat ranking based on CoinMarketCap data, XRP has consistently ranked in the top three over the past week. On January 24, it was ranked #3 with a price of $1.92 and a 24-hour increase of 0.65%. On January 22, it was also #3 with a price of $1.94 and a 24-hour increase of 2.68%. These rankings reflect stable user attention, indicating high market engagement. High hotness rankings are often linked to capital flows, media coverage, and community activity, suggesting that despite short-term price pressures, interest in XRP’s long-term prospects remains strong.
This message is not investment advice. Please be aware of market volatility risks.
