Ripple has achieved a notable milestone in its regulatory journey, receiving preliminary and conditional approval from the US Office of the Comptroller of the Currency (OCC) to establish Ripple National Trust Bank, N.A. This proposed trust bank is set to specialize in crypto custody, the safekeeping of assets, and management of reserves backing Ripple’s US dollar-denominated stablecoin, RLUSD. However, the bank is required to fulfill various capital, liquidity, compliance, and operational criteria before it can operate fully.
In a separate advancement, the launch of wXRP on the Solana blockchain has taken place. This initiative, managed by the regulated custodian Hex Trust and facilitated through LayerZero’s cross-chain technology, allows each unit of wXRP to be backed 1:1 by XRP held in custody. This means that wXRP can be exchanged back to the XRP Ledger at any given time, thereby enabling XRP liquidity to flow into Solana’s decentralized exchanges and lending platforms. Despite these benefits, introducing cross-chain functionality also introduces potential risks linked to custodial operations and bridge activities—issues that deterred market participants following several notable incidents in the past.
In the realm of exchange-traded funds (ETFs), US spot XRP ETFs have collectively crossed the $1 billion asset milestone. The surge is largely credited to a rapid influx of new products launched in November by firms like Canary Capital, Franklin Templeton, and Bitwise, providing regulated access to XRP for institutional and traditional investors. Competitive low-fee structures have further fostered adoption.
However, despite strong demand for XRP ETFs, this interest has not resulted in a considerable price increase for XRP. Historical patterns seen with Bitcoin and Ethereum ETFs suggest that structural demand accumulates over time rather than resulting in immediate price spikes. Currently, XRP’s trading range hovers between $1.88 and $2.00—a significant decline of approximately 5% in the last 24 hours and a 45% retracement from highs above $3.50 seen earlier this quarter.
The market reaction to recent Federal Reserve decisions, including a 25-basis-point rate cut, has been less than enthusiastic. Rather than acting as a stimulant for risk assets, the announcement evolved into a “sell the news” scenario, compounded by cautious forward guidance for 2026, resulting in tighter financial conditions and dampened investor sentiment.
From a technical perspective, XRP is under scrutiny to ascertain potential stabilization points amid ongoing downside pressure. The immediate support zone appears to be between $1.85 and $1.90, an area corresponding to recent lows, where buyers have begun to intervene to mitigate the selloff. A sustained hold at these levels would suggest a cooling of selling pressure.
Conversely, if this support area fails, attention is likely to shift to a secondary demand zone around $1.75 to $1.80, as well as a deeper support band lying between $1.60 to $1.70 corresponding to previous market consolidations.
On the upside, the psychological resistance at the $2.00 mark remains significant, but a more critical level rests slightly higher at the $2.15 to $2.22 range, which has previously served as both support and resistance amid volatility. Successfully reclaiming this zone would signal a possible easing of negative momentum. Further resistance can be expected at the $2.33 to $2.40 bracket, an area where past rebounds have typically encountered selling pressure unless market sentiment shows clear improvement.
This context illustrates the interplay of macroeconomic forces and technological advancements shaping the evolving landscape of the cryptocurrency market. It is essential for investors to approach trading in cryptocurrencies with caution, considering the inherent volatility and risks involved. Past performances should not be seen as a guarantee for future outcomes, and careful consideration of one’s risk tolerance is advised.
