XRP Today News: New CFTC Chairman Takes Office, Regulatory Breakthrough with $3 in Sight

XRP trading price hovers below $2, and technical indicators show a bearish tendency, but the historic shift in the regulatory landscape is rewriting the rules of the game. Michael Selig officially takes office as CFTC chairman, forming a “dream team” with incoming SEC chairman Paul Atkins, injecting strong bullish catalysts for XRP. The US XRP Spot ETF has recorded inflows for the sixth consecutive week, totaling $82.04 million.

Regulatory Breakthrough Becomes XRP's Biggest Bullish Factor

The focus of today's XRP news is on the seismic shift in Washington's regulatory policies. Michael Selig emphasized in his inaugural statement on platform X that the CFTC will establish practical rules for emerging financial markets to ensure that future innovations originate from the United States. White House artificial intelligence and cryptocurrency czar David Sachs called Selig and Atkins the “dream team” that will set clear rules for the 21st century.

This is significant for XRP. Looking back in history, on July 17, when the House of Representatives submitted the “Market Structure Bill” to the Senate for review, XRP surged 14.69% in a single day, while the overall cryptocurrency market only rose 1.78%, highlighting XRP's extreme sensitivity to legislative developments. The five-year legal dispute between Ripple and the SEC has made XRP's demand for regulatory clarity far exceed that of other tokens.

The market generally expects the two parties to pass the “Market Structure Bill” for deliberation in early January, which will signal favorable legislation for cryptocurrencies to take effect in the first quarter of 2026. Analysts believe this is a key catalyst for the price of XRP, potentially driving it to break through the current area of $1.9 to $2.5 or even $3. The pro-cryptocurrency leadership within the SEC and CFTC, combined with legislative breakthroughs, provides XRP with the strongest fundamental support in five years according to today's news.

ETF Capital Influx VS Whale Sell-Off Life-and-Death Contest

(Source: Santiment)

The core contradiction of today's XRP news lies in the tug-of-war between institutional buying and whale selling. The U.S. XRP Spot ETF market reported a net inflow of $82.04 million this week, which is a decrease compared to the $93.57 million from the previous week. However, against the backdrop of significant outflows from the BTC Spot and ETH Spot ETFs, XRP's performance highlights the resilience of institutional demand.

However, whales are selling off in large quantities. Cryptocurrency analyst Diana pointed out that early large holders are strategically releasing liquidity on exchanges like Binance, while ETFs are quietly absorbing the supply. This conflict keeps the price within a range, with no breakout yet. Diana emphasized that this is not a problem of weak demand, but rather a phase where supply is still being released.

A key turning point is approaching. According to Bloomberg News, there are currently 10 active ETPs of XRP that have submitted listing applications, and the total number of XRP Spot ETFs will increase from 5 to 15. This is expected to significantly boost capital inflows, shifting the supply-demand balance in a more favorable direction. As the whale sell-off may weaken, the prospect of more Spot ETFs further consolidates the bullish narrative of XRP news today.

The market intelligence platform Santiment has also issued a bullish signal, as its data shows that negative comments about XRP on social media are much more intense than average levels. Historically, when retail investors doubt the upward potential of a cryptocurrency, the likelihood of its price pumping significantly increases. Santiment's sentiment chart indicates that the market is in a state of panic, which is usually a bullish counter-indicator.

severe conflict between technical indicators and fundamentals

(Source: Trading View)

The most ironic aspect of today's XRP news lies in the complete divergence between technical and fundamental factors. On December 22, XRP closed at $1.9032, falling below the 50-day and 200-day Exponential Moving Averages (EMA), indicating a bearish tendency. However, the fundamentals are increasingly overshadowing the technicals.

Key Technical Levels and Price Paths

support level

First Support: $1.75

Second support: 1.50 USD

resistance level

Psychological Barrier: 2.0 USD

50 Day EMA: 2.1244 USD

200 Day EMA: 2.4046 USD

Medium-term target: 2.5 USD

Long-term goal: 3.0 USD

All-time high: 3.66 USD

From the daily chart, if the price reclaims the psychological level of $2, it may test the 50-day moving average again. A breakout above the 50-day moving average will indicate a reversal of the short-term uptrend, at which point the 200-day moving average and the resistance level of $2.5 will come into play. Continuous breakouts above the EMA line will support a bullish medium-term outlook, as well as a target price of $3.0 within a longer-term range of 8 to 12 weeks.

Despite the technical indicators remaining bearish, regulatory breakthroughs, ETF demand, and legislative progress are creating a special period dominated by fundamentals. The market's expectations for the Federal Reserve to cut interest rates in March, as well as the Bank of Japan's cautious policy stance, will further boost demand for XRP.

Three Scenarios and Risk Management

XRP today news provides a clear three price paths. In an optimistic scenario, if the “Market Structure Act” passes review, the total number of XRP Spot ETFs increases to 15, and the Fed cuts interest rates in March, XRP could reach $2.5 in the medium term (4 to 8 weeks), with a long-term target of $3.0 (8 to 12 weeks). A perfect bullish combination may push it back to its historical high of $3.66 within 6 to 12 months, or even challenge $5.

The neutral scenario is oscillating between 1.9 and 2.1 dollars, where whale sell-offs and ETF absorption achieve a dynamic balance. In this situation, investors need to patiently wait for regulatory policies to clarify or for ETF fund inflows to accelerate in order to break the deadlock.

The triggering factors for a bearish scenario include: the Bank of Japan announcing a neutral interest rate set between 1.5% and 2.5%, rising inflation in the United States leading the Federal Reserve to veto a rate cut in March, MSCI removing digital asset reserve companies from its index, the U.S. Senate questioning the Market Structure Bill, and funds flowing out of the XRP Spot ETF report. These situations could push XRP towards $1.75, signaling a reversal of the bearish trend.

In summary, the core conclusion of today's XRP news is: regulatory breakthroughs and ETF demand are rewriting the game rules. Although the technical indicators show bearish signals, the strong support from the fundamentals leads to a cautiously bullish short-term outlook, with an even more optimistic mid to long-term outlook. The psychological barrier of 2 dollars is the decisive battlefield, and a breakthrough will open the upward channel from 2.5 to 3 dollars.