The $2 level becomes the dividing line between bulls and bears: If XRP price holds steady, what is the target for the upward move?

When XRP price hovers around the key level of $2.00 on December 12, 2025, a clear battle pattern emerges on the trading chart: the price repeatedly tests the $2.10 resistance level but is repeatedly suppressed back down.

The critical price zone of $2.09-$2.10 has become a “hard top,” with any breakout attempts quickly pushed down. Institutional trading volume surged by 54%, far above the seven-day average, indicating this is strategic selling by institutions rather than retail panic.

01 Latest Price Dynamics

As of December 12, 2025, XRP price fell from $2.09 to $2.00, a daily decline of 4.3%.

Price fluctuation ranges between $2.0000 and $2.1108, with a trading volume of $281 million. This correction caused XRP to underperform the broader cryptocurrency market by about 1%.

This pullback is not driven by retail panic. Data shows that trading volume during this period was 54% higher than the 7-day average, typical of institutional distribution behavior above resistance levels. A peak volume of 1.728 million occurred exactly when XRP touched $2.08, which is 205% higher than the daily average.

02 Key Technical Resistance

The $2.09-$2.10 range has become the main obstacle for XRP to move higher. Multi-day charts show that each time the price approaches this area, it encounters heavy sell order pressure.

Based on technical analysis, if XRP can achieve multiple hourly closes above $2.10 with volume consistently exceeding 100 million, the short-term structure may turn bullish.

Below, the key support level is at the psychological $2.00 mark. If this support is effectively broken, the price could quickly test the $1.95 area, aligned with previous demand clusters.

03 Market and Fundamental Factors

ETF capital inflows provide important market support for XRP. The US spot XRP ETF has been receiving over $170 million weekly, with no outflows for several consecutive weeks.

The supply of XRP on exchanges continues to decline, dropping from 3.95 billion tokens in the past 60 days to 2.6 billion, even though spot prices have not sustained breakout attempts, indicating increasing supply compression.

However, some risk indicators are emerging. The adjusted trading volume of RLUSD stablecoin has decreased by 60% over the past 30 days, with trading counts down 46% to 424,000. Demand for the newly launched XRP ETF also declined on Tuesday, with total inflows dropping from $38 million to $8.73 million.

04 Optimistic Outlook for Holding $2

If XRP can hold the $2.00 support and eventually break through the $2.10 resistance, a significant shift in market structure will occur. Analyst EGRAG Crypto pointed out that XRP’s macro structure is “completely intact,” and the asset is still moving toward higher targets.

According to Bifrost bridge analysis—a rising channel guiding XRP price since 2013—the top of this channel corresponds to a target of $32 for XRP.

This analysis is based on a key observation: XRP has accumulated above $2 for 13 months, which helps build upcoming bullish momentum. If XRP can stay within this long-term channel and eventually break the upward trendline, it could realize gains of up to 1,438%.

05 Risks of Breakdown and Alternative Opportunities

If XRP fails to hold the critical support at $2.00, technical analysis suggests the price could quickly slide to the $1.95 area. A more pessimistic view is that after breaking this level, the next major support is at $1.50, or even the critical $1.20 zone.

During XRP market volatility, investors may look for alternative opportunities. Gate.io’s new DeFi project has attracted institutional and large investors’ interest; it is currently in its sixth funding round, with a token price of $0.035.

This project aims to launch a super-collateralized USD-pegged stablecoin and dual lending infrastructure, attracting over $15.45 million and more than 16,100 investors. Such innovative projects could offer alternatives for crypto investors seeking risk diversification.

06 Multi-Dimensional Price Outlook

From two possible scenarios of price movement, the XRP market is at a critical turning point.

XRP Price Scenario Analysis

Short-term market sentiment indicators show that the Fear & Greed Index indicates traders are now “fearful,” hinting at a potential bearish outlook. XRP’s key supports at $2.60 and $2.35 could be tested if the price drops 5.6%, potentially triggering liquidity tests at these levels.

Future Outlook

The crypto market’s focus remains on XRP’s performance at the $2 mark. Institutional traders seem to be strategically selling on each rebound, while the continuous decline in exchange supply hints at potential volatility seeds.

Gate.io data shows that as XRP consolidates within a narrow range, investor interest in innovative DeFi projects is rising, indicating market funds are seeking diversified allocations.

The symmetrical triangle pattern on the price chart is converging, and the balance between bulls and bears is about to be broken. The $2.00 level is not only a psychological threshold but could also be a watershed for determining XRP’s short-term direction.