XRP jumps above $2 as traders price in friendlier SEC
XRP surged above the $2 mark as traders reacted to signs of renewed demand tied to U.S. spot XRP ETFs and a more constructive regulatory tone in Washington. Market participants said expectations of clearer rules and enforcement restraint improved risk appetite for the token, even as broader crypto markets showed mixed performance. The price move suggested buyers were positioning for improved liquidity and institutional participation, with ETFs viewed as a key gateway for fresh capital.
Data from SoSoValue showed $13.59 million in net inflows into U.S. spot XRP ETFs on Jan. 2, helping tilt near-term supply and demand in favor of bulls. The inflows arrived despite muted moves in major benchmarks, underscoring XRP’s relative strength and the impact of ETF-linked buying, and signaling sustained interest from institutional investors globally today.
Market Move: Price, Flows, and Context
Price action
XRP traded just over $2, up ~8% intraday, while bitcoin hovered near $90,000 and ether around $3,000. Mainstream market wraps place BTC in the high-$80Ks to ~$90K range entering 2026, consistent with today’s prints.
ETF flows
SoSoValue-sourced tallies show $13.59mn net inflows on Jan. 2, led by Franklin’s XRPZ; total net inflows since launch ≈ $1.18bn. Multiple outlets corroborate the Jan. 2 figure. FXEmpire+2Phemex+2
Regulatory shift
The SEC announced Commissioner Caroline Crenshaw’s departure on Jan. 2, 2026, a change some see as easing resistance to crypto products. Trade press notes her record of skepticism toward spot crypto ETFs.
Why XRP jumps above $2 today
Analysts attribute the move primarily to token-specific catalysts namely, persistent ETF inflows rather than a broad risk-on wave. Coverage highlights weaker relative demand in some major crypto funds over the same window, reinforcing the idea that XRP’s bid is idiosyncratic.
ETF dynamics behind why XRP jumps above $2
Daily creations in U.S. spot XRP ETFs add incremental buy-pressure when primary market demand rises. With ~$13.6mn net inflows on Jan. 2 and cumulative totals near $1.18bn since launch, traders framed Friday’s breakout as flow-led rather than leverage-driven.
Policy Watch: Crenshaw’s Exit and the Legislative Calendar
Crenshaw’s departure removes a prominent skeptic of spot crypto ETFs from the Commission. Separately, Capitol-Hill watchers point to a Jan. 15 markup for crypto market-structure legislation a near-term headline that could further sway sentiment, even if timelines or text evolve. SEC+1
Context & Analysis
The flow-through from ETF demand to spot price can fluctuate with liquidity, primary-market activity, and arbitrage efficiency. While personnel changes at the SEC can influence policy tone, concrete impacts depend on rulemakings, court outcomes, and any eventual bipartisan market-structure compromise. Near term, ETF flow velocity and technical levels (e.g., $2.00–$2.10) will likely guide momentum.
Bottom Lines
In the absence of negative headlines, consistent ETF creations and a more stable policy environment could continue to support XRP prices into mid-January. Traders believe easing regulatory uncertainty and a quieter news cycle may help maintain buying interest, allowing the token to remain well bid in the near term.
Market participants are closely watching the Jan. 15 legislative schedule, as any developments could influence sentiment. Signals from the SEC following that date will be key in determining whether the recent price strength is sustainable or fades amid shifting regulatory expectations.
FAQs
Q : Why did XRP rise today?
A : Fresh U.S. spot ETF inflows and improving regulatory sentiment after Commissioner Caroline Crenshaw’s departure supported the move.
Q : Did ETF flows directly cause the rally?
A : Flows likely contributed, but price action also depends on liquidity, positioning, and technical factors.
Q : What is the next level traders are watching?
A : Commentary points to the $2.00–$2.10 zone as near-term support/resistance.
Q : Are broader crypto markets also rallying?
A : Majors were mixed; BTC hovered near ~$90k and ETH near ~$3k, while XRP outperformed.
Q : When is Congress discussing crypto market structure?
A : Reports point to a Jan. 15 markup window, though timelines can change.
Q : Does SEC leadership change policy immediately?
A : Not automatically. Leadership shifts can change tone, but outcomes depend on rulemakings and votes.
Q : Is this move sustainable?
A : Sustainability hinges on continued ETF creations, adequate liquidity, and policy follow-through.
Facts
Event
XRP breaks above $2 amid ETF inflows and perceived regulatory shiftDate/Time
2026-01-03T11:21:00+05:00Entities
Ripple (XRP), U.S. Securities and Exchange Commission (SEC), Caroline Crenshaw, Franklin XRP ETF (XRPZ), 21Shares XRP ETF (TOXR)Figures
$13.59mn net inflows (Jan. 2); ≈$1.18bn cumulative XRP ETF inflows since launch; BTC ≈ $89k; ETH ≈ $3kQuotes
“XRP jumped above $2… as traders bet on a friendlier SEC.” — CoinDesk market update (reporting) CoinDeskSources
SEC statement on departure https://www.sec.gov/newsroom/speeches-statements/statement-departure-commissioner-crenshaw-010226; CoinDesk market update — https://www.coindesk.com/markets/2026/01/03/xrp-jumps-8-above-usd2-as-traders-bet-on-a-friendlier-sec; SoSoValue flows via FXEmpire https://www.fxempire.com/forecasts/article/xrp-news-today-xrp-jumps-past-2-on-etf-inflows-and-policy-optimism-1570830; Economic Times BTC wrap https://m.economictimes.com/markets/cryptocurrency/crypto-market-starts-2026-on-balanced-note-bitcoin-trades-near-88000/articleshow/126299863.cms