• XRP holds ground, eyeing support at $2.00 as the crypto market widely recovers on Monday.

• XRP ETFs record 20 consecutive days of inflows, underscoring growing institutional appetite.

• Retail demand rises marginally, with the Open Interest averaging $3.72 billion.

Ripple (XRP) is holding ground slightly below $2.00 at the time of writing on Monday amid a generally bearish outlook across the broader cryptocurrency market. Steady institutional demand and a marginal increase in retail demand could boost momentum in the coming days, with XRP expected to edge up above the $2.00 pivotal level.

XRP ETFs extend inflows

US-listed XRP spot Exchange Traded Funds (ETFs) extended their 20-day inflow streak on Friday, with approximately $20 million deposited. Franklin Templeton’s XRPZ ETF led with $8.7 million in inflows, followed by Bitwise’s XRP with nearly $8 million and Canary Capital’s XRPC with $3.6 million.

The cumulative inflow volume stands at $991 million, while net assets average $1.18 billion. A break above the $1 billion milestone in total inflows could boost interest in XRP-related investment products.

Despite XRP futures Open Interest (OI) rising marginally to $3.71 billion on Monday, from $3.57 billion the previous day, retail demand has not recovered to levels seen before the October 10 deleveraging event. The widespread crash liquidated over $19 billion in crypto assets, wiping out $610 million in XRP long positions and approximately $91 million in shorts. 

Retail interest in XRP remains significantly low despite the futures OI, compared to the $10.94 billion peak on July 22, after XRP hit a new record high of $3.66 on July 18. A sustained recovery in OI is required to support price advance beyond the $2.00 key level.

Technical outlook: Can XRP extend short-term recovery?

XRP is hovering at $1.98 and below the down-trending 50-day Exponential Moving Average (EMA), the 100-day EMA and 200-day EMA, keeping the bias generally bearish. The Moving Average Convergence Divergence (MACD) line (blue) on the daily chart sits below the signal line (red), backing the bearish thesis. Moreover, histogram bars have turned marginally negative under the mean line, which suggests fading upside momentum.
The Relative Strength Index (RSI) on the same chart holds at 40 in the bearish region, indicating rebounds may fail to gain momentum in the short-term.

A descending trendline from the record high of $3.66 limits XRP's upside, with resistance seen near $2.54. An accelerated descending trendline from $3.09 restricts gains below $2.12. Meanwhile, the rising trendline from $1.45 underpins a developing bullish bias, offering support near $1.96.
A close above the 50-day Exponential Moving Average (EMA) at $2.21 could ease bearish pressure and pave the way for an upswing toward the next trendline cap at $2.54. Still, a close below $2.00 would reassert sellers and increase the chances of the decline extending to November's low of $1.82.