XRP Faces 45% Rally Hurdle to Reach $2 Target

XRP faces significant hurdles in reaching its target price of $2, requiring a 45% rally from its current position. The cryptocurrency has been experiencing a corrective phase since August's sharp uptrend, keeping the psychological $2 level in sight but far from assured.

According to recent data, XRP traded around $1.38 on August 31, marking a 1.8% decline over the preceding 24 hours. Despite this softness, the cryptocurrency posted a robust 31% gain across August, temporarily spiking to $1.70 during the month's rally.

Institutional interest, particularly through spot XRP ETFs, has emerged as the strongest driver for further upside. US-listed spot XRP ETFs attracted $110.49 million in inflows during the week ending August 28, recording their best weekly intake of 2026. Cumulative net inflows into these funds have reached approximately $1.66 billion.

The persistence of ETF inflows during the recent price dip indicates underlying institutional support, though market watchers caution that ETF interest alone does not guarantee price appreciation. Broader market factors such as derivatives positioning, profit-taking, Bitcoin trends, and macroeconomic developments continue to influence XRP's trajectory.