XRP climbed past $1.18 Thursday, gaining 4% in a session that pushed the token to the edge of the $1.20 resistance level. Traders pointed to a fresh wave of institutional purchases and renewed interest in a potential spot exchange-traded fund as the main catalysts.
Why the rally has legs
The latest leg higher follows a pattern seen across several large-cap crypto assets this quarter: big-money players moving into liquid tokens ahead of expected regulatory clarity. XRP in particular has drawn attention from funds that had previously sat on the sidelines. While the token remains below its 2018 peak, the steady climb since late last year suggests buyers aren't just speculating—they're building positions.
Data from on-chain analytics shows transaction volumes among addresses holding at least 1 million XRP have increased over the past two weeks. That kind of accumulation, combined with a pickup in open interest on derivatives platforms, signals that the move is backed by more than retail hype.
The $1.20 wall
The $1.20 mark has acted as a stubborn ceiling since mid-2021. Every attempt to break above it faded quickly, leaving a trail of liquidated longs. Thursday's push came within a few cents of that line before settling around $1.19. Whether the token can close above it will depend on whether the buying pressure holds through the Friday close.
Order-book data from major exchanges shows a cluster of sell orders stacked just above $1.20, with roughly 50 million XRP waiting to be absorbed. If buyers can chew through that supply, the path to $1.30 opens up. If not, the token could slide back toward support at $1.10.
ETF buzz and institutional flows
The rally coincides with speculation that a spot XRP ETF might be closer to reality than many assumed. Several asset managers have recently filed for products tied to the token, and while no approval has been granted, the mere prospect has drawn money from investors who want to get ahead of the decision.
Institutional flows into XRP-linked products reached $30 million last week alone, according to data from CoinShares. That's the highest weekly inflow since April. The trend mirrors the pattern seen before bitcoin ETF approvals earlier this year, where steady accumulation preceded a breakout.
Market participants are now watching for any regulatory signals—either from the SEC or foreign regulators—that could accelerate or stall the process. Until then, the $1.20 test remains the immediate focus.
