The strong start XRP has made in 2026 is drawing attention across the crypto market.
According to Akanksha Saxena, a Binance Square KOL, the recent momentum goes beyond short-term price action and is supported by several clear signals aligning at the same time.
In a recent post on X, Saxena outlined four reasons XRP is increasingly on investors’ radar this year.
ETF Demand Is Building Momentum
One of the key drivers highlighted is rising ETF demand. Spot XRP ETFs have attracted close to $80 million in inflows since the start of the year. This follows consistent inflows on trading days since the November launch of XRP ETFs. Notably, total inflows now stand at $1.2 billion, with $1.53 billion in assets under management.
However, XRP recorded its first-ever net outflow of $40.8 million on Wednesday. This was driven by 21Shares’ massive sale of $47.25 million worth of XRP. Meanwhile, other asset managers posted positive flows.
XRP Is Outperforming Major Cryptocurrencies
Performance data is also strengthening XRP’s case. Since January 1, XRP has risen around 31% from its 2025 close of $1.84 to reach $2.41 on January 6. This move outperformed the gains in both Bitcoin and Ethereum.
However, at press time, XRP and the broader market are undergoing a pullback, impacting 2026 performance. XRP now trades at $2.08, down 7.15% over the past day. Despite this, it remains up 12.76% over the past week.
Market Sentiment Has Turned Bullish
Another notable shift is sentiment. Social discussions and market positioning around XRP have become increasingly positive.
As of December 23, sentiment around XRP was highly negative, which, according to Santiment, often precedes price rallies. This pattern proved accurate in the first week of January.
A follow-up comment from Santiment analyst Brian Quinlivan confirmed that sentiment has improved but remains far from euphoric. Notably, Quinlivan noted that XRP’s 30-day MVRV has turned slightly positive at around 1.5%, indicating that recent buyers are near breakeven and selling pressure is limited.
Mainstream attention has followed as well, with CNBC recently describing XRP as the hottest crypto of the year. CNBC cited its sharp gains and outperformance relative to Bitcoin and Ethereum.
Network Activity Is Picking Up
On-chain data is reinforcing the price action. Recent data from Santiment shows XRP whale activity has surged to levels last seen in October 2025.
It highlights a sharp increase in whale transactions, with transfers exceeding $100,000 reaching a three-month high on January 6, totaling 2,802 transactions. Elevated activity has persisted throughout the week, following 2,170 similar transactions on January 5.
Whale transactions above $1 million also rose significantly, jumping from around 1,914 to over 2,400, signaling renewed large-holder interest in XRP.
With ETF inflows, strong relative performance, improving sentiment, and higher network activity, XRP is shaping up as an asset to watch in 2026. Some believe the coin could set a new all-time high this year.
DisClamier: This content is informational and should not be considered financial advice. The views expressed in this article may include the author's personal opinions and do not reflect The Crypto Basic opinion. Readers are encouraged to do thorough research before making any investment decisions. The Crypto Basic is not responsible for any financial losses.
