XRP Outperforms Bitcoin and Ethereum With 25% Surge: How High Can the Price Go in 2026?

A leading altcoin has taken the spotlight, outperforming both Bitcoin and Ethereum as exchange-traded fund (ETF) demand shows no signs of slowing. CNBC recently described XRP as “the most compelling crypto trade of the year,” reflecting a noticeable shift in investor focus. Looking ahead, several 2026 projections suggest Ripple’s native token could climb as high as $8.

XRP rallied nearly 25% during the first week of January, touching the $2.40 mark on Tuesday before retracing to test critical support levels on Wednesday, January 7, 2026. Over the same period, Bitcoin advanced roughly 6%, while Ethereum posted gains of about 10%, underscoring XRP’s relative strength.

During CNBC’s Power Lunch, host Brian Sullivan highlighted the trend, stating that the most active crypto trade currently isn’t Bitcoin or Ethereum—but XRP. With this momentum, XRP has cemented its position as the third-largest cryptocurrency by market capitalization.

This analysis explores why XRP is rising today, its near-term technical setup, and how far the price could realistically go in 2026.

XRP Price Today: ETF Demand Tells a Different Story

Spot XRP ETFs have attracted close to $100 million in inflows within the opening days of 2026, pushing total inflows to approximately $1.37 billion since their launch in late 2025. Notably, these products have yet to record a single day of net outflows.

CNBC reporter Mackenzie Sigalos highlighted a unique trend in ETF behavior. Unlike Bitcoin and Ethereum ETFs—where flows typically mirror price action—XRP ETFs saw increased buying during the sluggish market conditions of Q4 2025. This divergence suggests investors viewed XRP as a less crowded opportunity.

On December 31, XRP ETFs logged $5.58 million in inflows, while Bitcoin and Ethereum ETFs experienced net outflows of $357.7 million and $224.8 million, respectively. Adding to retail accessibility, Interactive Brokers recently introduced XRP trading alongside Solana, Cardano, and Dogecoin.

XRP Technical Analysis: Strength With Short-Term Caution

From a technical standpoint, XRP tested its 200-day exponential moving average (EMA) twice this week before slipping below $2.30 on Wednesday. Although prices briefly exceeded $2.40 on Tuesday, gains faded by the daily close, resulting in a nearly 2% decline.

On January 7, XRP extended losses by another 2.5%, retesting the $2.24 level—an area that previously capped prices during consolidation between mid-October and November. A decisive move below the 200 EMA could signal a return to range-bound trading.

Chart analyst The Great Mattsby noted that XRP’s performance relative to Bitcoin is nearing a technical breakout above the monthly Ichimoku cloud, a level not surpassed since 2018. Historically, such moves have preceded periods of XRP outperformance, though short-term price action remains sensitive to liquidity-driven volatility.

Key downside support lies between $1.91 and $1.80, aligned with late-2025 lows, with deeper structural support near $1.25. On the upside, resistance emerges around $3.00, followed by levels near $3.20 and $3.60.

What’s Driving XRP’s Price Surge?

Exchange Reserves Continue to Decline
Data from CryptoQuant shows XRP balances on Binance have fallen to their lowest level in two years. Lower exchange reserves often indicate reduced selling pressure, as tokens are moved into long-term storage rather than prepared for liquidation.

Network Activity Accelerates
Transaction volume on the XRP Ledger has surged more than 50% over the past two weeks, approaching one million daily transactions—a level last seen in 2022. This increase points to growing use in cross-border payments and decentralized exchange activity.

Strategic Japan Partnerships Strengthen Institutional Adoption

Ripple recently announced partnerships with Mizuho Bank, SMBC Nikko, and Securitize Japan to expand XRP Ledger integration across Japan’s financial ecosystem. Mizuho contributes large-scale payment and liquidity capabilities, while SMBC Nikko bridges blockchain technology with traditional capital markets.

Securitize Japan enhances tokenization functionality, enabling compliant issuance and management of digital securities on the XRP Ledger. Collectively, these collaborations position Japan as a key hub in Ripple’s broader Asian expansion strategy.

Additionally, Ripple secured conditional approval from the U.S. Office of the Comptroller of the Currency to establish Ripple National Trust Bank, following the enactment of the GENIUS Act in July 2025. Ripple President Monica Long told Bloomberg that the company’s November funding round—valuing Ripple at $40 billion—was highly favorable, though an IPO is not currently planned.

XRP Price Forecast: Can XRP Reach $8 in 2026?

Among major financial institutions, Standard Chartered holds the most optimistic outlook. Analyst Geoffrey Kendrick projects XRP could reach $8.00 by the end of 2026, representing a potential 247% upside from current levels—assuming ETF inflows reach $10 billion.

The forecast is driven primarily by supply dynamics. At that inflow level, ETFs would need to acquire approximately 4–5 billion XRP tokens at average prices near $2.20, adding pressure to an already tightening supply. Exchange balances have already declined by roughly 45%, from 3.95 billion to 2.6 billion tokens.

However, the journey to $8 is unlikely to be linear. Technical models suggest XRP may revisit support near $1.25 before building a sustainable base. Aggregated analyst estimates for 2026 range between $2.71 and $8.60, with an average forecast near $3.90.

XRP Price Scenarios for 2026

• Conservative ($3.00): Moderate ETF traction with limited expansion in real-world utility
• Base Case ($3.90–$5.12): Consistent ETF inflows alongside steady cross-border payment growth
• Bullish ($8.00): Strong institutional adoption, $10B ETF inflows, and regulatory clarity

Options market data from STS Digital suggests a 25% probability of XRP closing above $2.40 by year-end 2026, with a 10% chance of surpassing $3.90, based on current volatility metrics.

Source: Finance Magnates