XRP Wipes Out All Gains Since December 2024 — Can 2026 Deliver a Rebound?

Source: CryptoNewsNet Original Title: XRP Wipes Out All Gains Since December 2024 — Can 2026 Deliver a Rebound? Original Link: XRP has erased all the gains it made in early December 2024, pushing investors to shift their attention to what 2026 may hold for the token.

The prolonged market downturn continues to wreak havoc on the global crypto landscape, and XRP is no exception. The token, which surged in late November following major market sentiment shifts, has now surrendered all those gains amid intensifying selling pressure.

For context, XRP climbed sharply from around $0.50 to $2 between November and December 2024. It extended this momentum through the first days of December and ultimately reached $2.46 on December 6, 2024. However, the renewed downturn quickly reversed this rally.

At the time of writing, XRP trades at $2.04, marking a 17.07% decline from its December 6 peak. The pullback wiped out all the gains the token has made since early December.

Data shows that XRP has already lost 6.96% of its value since the start of December 2025, widening its 30-day decline to 12.3%. Over the past three months, it has fallen 27.3%, and remains down 6.15% over the last six months.

Will XRP Rebound in 2026?

Although 2025 has been unfavorable for most cryptocurrencies, including XRP, investors are now shifting their focus to 2026 and hoping for a stronger, more bullish year. This growing optimism stems from several major factors, including macroeconomic developments and crypto-specific catalysts.

CLARITY Act Passage

One of the most prominent reasons behind this positive outlook is the anticipated passage of the CLARITY Act. Industry stakeholders believe that 2026 could mark a major turning point for the market if the legislation becomes law.

The legislation aims to clearly define how cryptocurrencies should be classified and determine which regulator will oversee the industry. Currently in the Senate, the bill will move to the House if it passes and then proceed to the president’s desk.

Stakeholders widely expect that regulatory clarity will accelerate institutional adoption, potentially driving crypto prices higher. Industry leaders have recently predicted that Bitcoin could surge to new all-time highs next year—a move that would likely lift the broader market, including XRP.

Growing ETF Inflows

Institutional demand for XRP continues to climb, further fueling bullish expectations. This momentum is especially evident in the rapid inflows into newly launched spot XRP ETFs. Less than a month after the first full spot products went live, these ETFs are already nearing $1 billion in inflows, with cumulative inflows reaching approximately $897 million to date.

The impact of rising ETF inflows cannot be overstated. Earlier this year, Bitcoin and Ethereum saw significant price rallies as capital poured into their respective ETFs. With XRP ETFs now attracting similarly strong demand, many analysts speculate that XRP could follow the same trajectory and experience a meaningful uptrend.

Anticipated Interest-Rate Cut

Optimism continues to build as investors expect the U.S. Federal Reserve to reduce interest rates before the end of the year. Analysts predict a 25-basis-point cut, a shift that could inject fresh liquidity into the financial system.

Historically, rate cuts have triggered rallies in risk assets, and a similar response could benefit XRP alongside the broader crypto market.

XRP Treasury Reserve Initiative

Another bullish factor expected to influence XRP’s performance next year is the expanding XRP treasury reserve initiative. Recent developments show commitment to establishing a major XRP treasury. Although certain mergers and initiatives are scheduled for completion in 2026, entities involved have already begun accumulating XRP from the open market.

To date, they have acquired more than 400 million XRP, reducing the circulating supply and potentially increasing long-term scarcity.

While these developments position XRP for a potentially strong rally in 2026, the token remains vulnerable to macroeconomic shocks, as seen earlier this year.