XRP reclaimed the $2.20 resistance level, fueled by institutional capital flooding into newly launched exchange-traded funds on NYSE Arca.
The token's sharp reversal from mid-session weakness demonstrated renewed buying conviction as traditional finance channels opened to digital assets.
Franklin Templeton's XRPZ and Grayscale's GXRP attracted a combined $164 million in their market debut this week.
The inflows mark a turning point for regulated XRP exposure, offering broker-integrated access that historically remained unavailable to traditional investors.
Institutional Capital Reshapes Market Structure
The ETF launches follow Canary Capital's November 13 debut, which generated $250 million in assets under management within 72 hours.
According to data from XRP Insights, nearly 80 million tokens were absorbed across four live funds on Monday alone, pushing total assets under management to $778 million.
Grayscale's GXRP pulled in $67.4 million, while Franklin Templeton's XRPZ attracted $62.6 million during its launch on November 24.
The absorption rate outpaced recent Solana ETF debuts and occurred while Bitcoin funds experienced outflows.
Canary's XRPC leads cumulative net inflows at $331 million, followed by Bitwise's XRP ETF at $168 million. The four active products now represent significant buying pressure on circulating supply.
According to Chad Steingraber on X, each ETF share represents 10 to 20 XRP tokens. He noted on Monday that with prices jumping from $1.90 to $2.10 between Friday's close and Monday's open, the 20-cent move created material gains for share values.
Steingraber suggested sustained inflows could trigger market volume surges as demand psychology shifts, allowing the ETF structure to become an influencer of price dynamics over time.
The institutional rotation comes after heavy distribution earlier in November, when large wallets reduced exposure and derivatives positioning weakened. The fresh capital suggests stabilization in market structure.
Market participant MrNguyen007 posted on X that 21Shares prepares to launch its TOXR product by next week, expanding regulated spot XRP access further. The fund targets $500,000 in seed capital with a 0.50% management fee after receiving S-1 and Form 8-A approval for listing on Cboe BZX.
Technical Breakout Confirms Momentum Shift
XRP broke through $2.20 resistance during a session marked by 81% volume expansion.
The token traded 117.7 million units versus the 65 million daily average, signaling institutional confirmation rather than retail volatility.
Price formed three consecutive higher lows anchored at $2.15, indicating strong dip absorption and the end of selling pressure. The move from session lows near $2.15 to highs around $2.26 printed a clean V-shaped recovery pattern.
Momentum accelerated sharply at 17:00 GMT. The final hour showed aggressive buying bursts totaling 2.1 million tokens in a four-minute window, marking a shift from passive accumulation to active breakout participation.
The token continues trading within a right-angled ascending broadening wedge pattern. As long as price maintains support above $2.15 and holds the $2.00 psychological level, the structure supports further upside scenarios toward mid-channel targets around $2.60.
The relative strength index remained above 50, indicating strong short-term demand, though the overall trend shows XRP still trading below the 50, 100, and 200 exponential moving averages on the four-hour chart.
Technical analyst DefendDark identified on X that yearly candles formed a cup and handle pattern on the chart. The analyst outlined support levels at $1.88 and $2.10, with potential targets reaching $5.85, $18.22, and $36.76 if the pattern continues its development.
Price Action and Volume Dynamics
XRP climbed 1.4% from $2.20 to $2.23 during the session, spanning a $0.10 range with 4.6% volatility. Multiple hourly volume spikes validated conviction buying throughout the trading period.
After reaching session highs near $2.26, the token consolidated above $2.23 with steady support holding through the close. In the final 60 minutes, XRP surged from $2.225 to $2.233 before profit-taking settled price near $2.226.
The token now faces a critical test at the $2.25–$2.35 resistance cluster. Clearing this zone would reopen $2.35 and then $2.60 as next upside targets based on the wedge pattern structure.
XRP formed a bullish flag pattern, with potential breakout targeting the $2.35–$2.45 sell-side fair value gap while sweeping liquidity at $2.30 and $2.35.
However, failure to reclaim $2.20 increases the likelihood of a move toward the $2.10–$2.00 buy-side fair value gap where key liquidity concentrates.
The $2.15 support remains the pivotal line determining whether the breakout holds or reverses. ETF flows provide a fundamental anchor beneath price, while technicals display fresh higher-low structure and renewed volume confidence.
XRP posted a 5% weekly recovery from $1.90 lows to current levels around $2.20, making it the top performer among top-10 digital assets by market capitalization.