XRP News Today: Vanguard U-Turn Ignites Rally Toward $3 Target

XRP news today highlights $89.65M ETF inflows crushing Bitcoin’s $8.5M as Vanguard reversed its crypto ban and Bank of America announced 1-4% allocations. XRP rallied 6.04% to $2.1535, with the 11-day inflow streak fueling momentum toward $2.35 near-term and $3 medium-term targets.

XRP ETF Inflows Crush Bitcoin: $89M vs $8.5M

(Source: SoSoValue)

XRP news today reveals stunning ETF performance disparity. On Monday, December 1, XRP-spot ETFs reported $89.65 million in net inflows, extending the inflow streak to 11 consecutive sessions. Crucially, ETF issuers reported the third-largest inflow since launch despite XRP closing the session down 5.79%—a remarkable vote of confidence from institutional investors buying the dip.

The US XRP-spot ETF market dramatically outperformed the US BTC-spot ETF market’s inflows of just $8.5 million. BlackRock’s iShares Bitcoin Trust saw $65.9 million in outflows, following $2.34 billion in net outflows during November. BlackRock previously disappointed XRP traders by delaying the launch of an iShares XRP Trust. Recent flow trends for its flagship iShares Bitcoin Trust should comfort XRP bulls, as capital appears rotating from Bitcoin into XRP.

Grayscale XRP ETF (GXRP) and Franklin XRP ETF (XRPZ) led December 1 with inflows of $52.3 million and $28.41 million respectively. However, Canary XRP ETF (XRPC) tops the cumulative inflow table, with $349.45 million single-day peak contributing to $756.26 million in total net inflows into the US XRP-spot ETF market since launch.

Flow trends for Tuesday, December 2, will be crucial given the reversal of Monday’s losses. The 6.04% rally suggests Tuesday likely posted strong inflows as well, though official data remains pending at publication time.

Vanguard’s Historic U-Turn Opens XRP to Main Street

XRP news today includes seismic shifts in Main Street crypto access. Vanguard Group unlocked the door for brokerage clients to invest in crypto-spot ETFs, potentially triggering demand surges. Robust Main Street demand would tilt the supply-demand balance in XRP’s favor, supporting bullish short- to medium-term outlook.

Bloomberg Intelligence Senior ETF analyst Eric Balchunas commented on the Vanguard effect: “THE VANGUARD EFFECT: Bitcoin jumps 6% right around US open on first day after bitcoin ETF ban lifted. Coincidence? I think not.” While Balchunas referenced Bitcoin specifically, the policy shift applies to all crypto-spot ETFs including XRP products.

Bank of America Private Bank & Wealth Management joined Vanguard Group on Tuesday, December 2, offering crypto access. Bitwise Invest CEO Hunter Horsley shared the announcement: “Bank of America Private Bank & Wealth Management, one of the largest in the country (>$2 trillion), announced it will allow advisors to allocate 1-4% to Bitcoin starting in January. Grateful BITB is included in the options they’ve selected. Crypto is going mainstream.”

BoA Private Bank and Wealth Management could potentially include XRP if spot ETFs perform in line with predictions. XRP’s utility in cross-border payments and Ripple’s banking relationships position it favorably for institutional allocation frameworks. The 1-4% allocation guideline suggests tens of billions in potential capital flows if even a fraction of BoA’s $2 trillion assets under management enter crypto markets.

Key Institutional Access Developments

· Vanguard reverses crypto ban for brokerage clients

· Bank of America Private Bank allows 1-4% crypto allocation starting January 2026

· Combined assets under management exceed $9 trillion between both institutions

· Policy shifts signal Main Street adoption inflection point

Main Street is seeing seismic attitude shifts toward crypto. These announcements from Vanguard and BoA represent landmark moments potentially unlocking trillions in institutional capital for crypto markets broadly and XRP specifically.

Medium-Term Catalysts: Path to $3

XRP news today reinforces bullish medium-term outlook as several key price catalysts are likely fueling demand:

Near-Term (1-4 Weeks) and Medium-Term (4-8 Weeks) Catalysts

· Broadening Main Street access to spot ETFs through Vanguard and BoA policy changes

· Market Structure Bill progress on Capitol Hill providing regulatory clarity

· Expectations of December Fed rate cut supporting risk assets

· Easing concerns about yen carry trade unwind that impacted markets in July and August 2024

These catalysts set the stage for near-term move toward $2.35 and medium-term return to $3. The December 2 rally breaking above $2.15 demonstrates XRP’s responsiveness to these fundamental developments, with technical momentum building alongside improving fundamentals.

Fed rate cut expectations particularly matter for XRP. Lower interest rates reduce opportunity cost of holding non-yielding assets like XRP, making crypto allocations more attractive relative to bonds or savings accounts. Current market pricing implies approximately 80% probability of 25 basis point cut at December’s Federal Open Market Committee meeting.

Market Structure Bill momentum on Capitol Hill provides another significant tailwind. This legislation would establish clear regulatory frameworks for crypto assets, removing uncertainty that has historically constrained institutional participation. Bipartisan support suggests passage probability has increased substantially, with Senate and House committees advancing the bill through necessary stages.

Technical Analysis: Key Levels for Traders

(Source: Trading View)

XRP rallied 6.04% on Tuesday, December 2, reversing the previous day’s 5.78% loss to close at $2.1535. The token outperformed the broader market, which gained 5.45%. Despite Tuesday’s recovery, XRP remained below the 50-day and 200-day Exponential Moving Averages (EMAs), reaffirming technical bearish bias. However, fundamentals have begun shifting favorably, supporting bullish outlook despite technical headwinds.

Critical Technical Levels

· Support levels: $2.00, $1.9112, and $1.8239

· 50-day EMA resistance: $2.3223

· 200-day EMA resistance: $2.4997

· Resistance levels: $2.20, $2.35, $2.50, $2.62, $2.80, $3.00, and $3.66

Bullish momentum would support move toward $2.35 resistance level and 50-day EMA. A sustained move through the 50-day EMA would bring the 200-day EMA and $2.50 into play. Breaking above both EMAs would signal trend reversal, opening path toward $3 medium-term target.

However, given downside risks, a $1.8239 stop-loss would be appropriate for traders holding long positions. This stop sits below the November low of $1.82, providing buffer against whipsaw movements while protecting capital if bearish scenarios materialize.

Downside Risks That Could Derail Rally

XRP news today wouldn’t be complete without addressing potential headwinds. Traders should remain vigilant given recent market volatility. Shifting sentiment toward Fed and Bank of Japan policy stances continues influencing market trends. XRP remains exposed to central bank-induced market shocks and risk of dropping to November low of $1.82 before sustained move toward $3.

Key Downside Risk Factors

· MSCI delisting digital asset treasury companies would reduce blue-chip interest in XRP as treasury reserve asset

· Senate opposition to Market Structure Bill removing regulatory clarity catalyst

· OCC rejecting Ripple’s application for US-chartered banking license damaging institutional credibility

· Weak inflows into XRP-spot ETFs and heavier BTC-spot ETF outflows signaling waning institutional demand

· Fed cutting rates in December but signaling caution over further cuts disappointing market expectations

· Bank of Japan hinting at more rate hikes in 2026, sending JGB yields higher and triggering yen carry trade unwind

These risk factors could trigger sharp corrections, making risk management essential. However, current fundamental momentum from Vanguard and BoA access expansion, combined with sustained ETF inflows, suggests bullish scenario carries higher probability than bearish alternatives.

Is This Santa Rally or Dead Cat Bounce?

A dead cat bounce or the start of Santa Rally? XRP joined Bitcoin and broader market in sharp Tuesday rebound. Market tensions from surging Japanese Government Bond yields abated as 10-year JGB yields dropped, shifting focus to key Main Street developments.

The sustainability of this rally depends on Wednesday, December 3 developments. Stronger inflows into XRP-spot ETFs and easing yen carry trade unwind risks could extend gains. Progress of Market Structure Bill, US economic indicators, and central bank signals will also influence risk sentiment.

Falling JGB yields and bipartisan support for Market Structure Bill will likely strengthen demand for XRP, potentially sending the token toward $2.35 near-term. To summarize, short-term outlook is cautiously bullish, while medium- to longer-term outlook is constructive based on institutional access expansion and regulatory clarity improvements.

FAQ

Why did XRP ETFs outperform Bitcoin ETFs?

XRP-spot ETFs posted $89.65M inflows versus Bitcoin’s $8.5M, suggesting institutional rotation from Bitcoin into XRP. BlackRock’s Bitcoin Trust suffered $65.9M outflows, while Grayscale and Franklin XRP ETFs led with combined $80M+ inflows.

What is the Vanguard effect on XRP?

Vanguard reversed its crypto ban, allowing brokerage clients to access crypto ETFs. This policy shift potentially unlocks trillions in capital from one of the world’s largest asset managers, with immediate market impact as Bitcoin jumped 6% on the news.

What are XRP’s near-term price targets?

Near-term (1-4 weeks) target sits at $2.35, with medium-term (4-8 weeks) target at $3.00. Key resistance at 50-day EMA ($2.3223) and 200-day EMA ($2.4997) must break for sustained rallies.

When will Bank of America allow XRP investments?

BoA Private Bank announced 1-4% Bitcoin allocation starting January 2026. While XRP isn’t explicitly included yet, strong ETF performance could lead to XRP inclusion given its utility in cross-border payments.

What could stop XRP’s rally?

Key risks include MSCI delisting digital asset treasury companies, Senate opposition to Market Structure Bill, weak ETF inflows, Fed signaling fewer rate cuts, or Bank of Japan triggering yen carry trade unwind with aggressive rate hikes.

Is XRP technically bullish or bearish?

XRP remains below 50-day and 200-day EMAs, maintaining technical bearish bias. However, fundamentals shifted bullish with institutional access expansion and sustained ETF inflows, creating fundamental-technical divergence favoring upside.