XRP Projected To Reach $8 By 2026: Standard Chartered Identifies Two Major Catalysts

Overview

XRP has displayed notable performance in the cryptocurrency market, emerging as a significant player despite a mixed year in 2025. Standard Chartered has issued a positive outlook for XRP, forecasting substantial growth due to anticipated inflows from spot exchange-traded funds (ETFs) and the resolution of regulatory uncertainties.

XRP’s Current Performance

As of now, XRP is trading slightly below $1.90 and ranks as the fifth-largest cryptocurrency by market capitalization. The asset has experienced a retracement of nearly 50% from its all-time highs attained in July. Despite this decline, Standard Chartered remains optimistic about XRP’s trajectory, anticipating a significant upward trend in the coming years.

Anticipated Inflows from Spot XRP ETFs

One of the primary drivers behind Standard Chartered’s bullish outlook is the potential launch of spot XRP ETFs. The bank predicts that these ETFs could generate inflows ranging between $4 billion and $8 billion throughout 2026. This influx of capital could lead to increased demand for XRP, particularly given its relatively limited supply. The current circulating supply of XRP is approximately 57 billion coins, and even modest inflows could create a meaningful supply shock in the market.

To put this in context, spot XRP ETFs have so far accumulated around $1.25 billion. Achieving the projected price of $8 would require annual inflows to reach between $5 billion and $10 billion, similar to the initial enthusiasm observed with Bitcoin ETFs.

Regulatory Clarity as a Catalyst

Another critical factor contributing to XRP’s potential rise is the resolution of regulatory issues that have long surrounded the cryptocurrency. The lawsuit from the US Securities and Exchange Commission (SEC) against Ripple Labs had a significant impact on XRP’s narrative. However, in August 2025, the SEC withdrew its appeal, leading to a settlement of $125 million between Ripple and the SEC. This agreement clarified that XRP sales on secondary markets are not classified as securities transactions.

The resolution of this legal uncertainty is viewed as a key catalyst for increased adoption of XRP. With the removal of these regulatory burdens, capital that had previously been sidelined is expected to flow back into the market, further supporting XRP’s price potential.

From author

The developments surrounding XRP highlight the interplay between regulatory clarity and market dynamics in the cryptocurrency sector. The anticipated inflows from spot ETFs combined with the resolution of legal challenges could create a conducive environment for XRP’s growth. However, it is essential to consider the broader economic conditions that could impact investor behavior and market sentiment.

Impact on the crypto market

• Increased Demand: The potential for significant inflows into XRP could elevate demand, influencing overall market dynamics.
• Regulatory Precedent: The resolution of the SEC lawsuit may set a precedent for other cryptocurrencies facing similar regulatory scrutiny, potentially leading to broader market confidence.
• Market Sentiment: Positive developments for XRP could foster a risk-on attitude among investors, encouraging capital flow into altcoins.
• Supply Dynamics: Limited supply of XRP combined with increased demand could lead to price volatility, impacting market participants’ strategies.
• Sector Growth: Success in XRP could inspire interest in other cryptocurrencies, particularly those considering ETF offerings or facing regulatory challenges.