XRP Market Experiences a Strong Comeback, Fueled by Positive Inflows and Regulatory Development

The cryptocurrency market is abuzz with renewed optimism as XRP experiences a strong comeback, fueled by positive inflows and a significant regulatory development.

Cryptocurrency market sentiment experienced a boost on Monday as XRP (CRYPTO: XRP) experienced a strong comeback, fueled by positive inflows and a significant regulatory development.

After struggling to establish bullish momentum for several weeks, XRP appears to be regaining strength, signaling a potential breakout.

XRP Spot Flows Flip Positive, Igniting Market OptimismOne of the key indicators of XRP’s resurgence is the recent shift in spot flows. After two weeks of negative movement, spot flows turned positive in the last two days, highlighting increased demand.

According to Coinglass data, over $36 million in spot flows were recorded in the last 24 hours, highlighting a strong bullish sentiment among investors.

This shift is also evident in the derivatives market, with open interest in XRP derivatives spiking by 16.33% and trading volume surging by 77.14%.

The surge comes after a period of stagnation in open interest during the second week of February, following a steep decline earlier in the month. The return of strong demand suggests a significant easing of selling pressure.

XRP Price Action Shows Strong GainsWith the shift in market sentiment, XRP’s price surged by 5.73% in the last 24 hours, trading at $2.70 at the time of writing.

This marks an impressive 19% recovery from its lowest price in the past seven days, indicating a strong rebound in XRP’s market value.

Grayscale's XRP ETF Filing Gains Recognition from SECA major catalyst behind XRP’s renewed momentum is the latest development concerning Exchange-Traded Funds (ETFs).

The U.S. Securities and Exchange Commission (SEC) has acknowledged Grayscale’s filing for an XRP ETF, a significant step toward regulatory acceptance.

This move places XRP alongside other cryptocurrencies like Bitcoin (CRYPTO: BTC) and Ethereum (CRYPTO: ETH), whose ETF applications have also gained traction.

According to market analysts, the approval of an XRP ETF could unlock new levels of liquidity, attracting institutional investors and boosting demand further.

As Grayscale joins the list of companies pursuing an XRP ETF, investors are closely watching regulatory updates that will shape XRP’s future trajectory.

XRP's Growing Liquidity as Major Exchanges Show InterestIn another bullish signal, leading cryptocurrency exchanges are considering listing XRP, potentially enhancing liquidity and accessibility for investors.

This move could lead to further capital inflows, strengthening XRP’s price action and reinforcing its market position.