XRP Army Alert: The Signal Ripple Holders Have Been Waiting as the Cooling Phase Fades

XRP is currently around $2.00, but is another rally in store?

Data shared by popular analyst CW shows that XRP spot volume has calmed down lately, which, history suggests, could mean a price bottom and subsequent rally.

The $XRP spot volume bubble map shows the current state of cooling.

In general, the cool-down phase indicates oversold and is most common in the lower state.$XRP ETFs are constantly being listed and global liquidity is increasing. With the continued listing of ETFs, $XRP is… pic.twitter.com/tfkW8ZsfFr

— CW (@CW8900) December 2, 2025

The above bubble map is consistent with previous reports indicating that the general market crash that has occurred since early October was mainly influenced by leveraged trading.

For XRP in particular, this chart shows that when spot volume overheats (red dots), the asset enters a prolonged correction phase. However, this has not been the case in recent months as the last major red dots after the late 2024/early 2025 rally came in at $3.40.

Consequently, CW has determined that current spot volume levels mean that XRP is in a “state of cooling,” which “indicates oversold” and has historically appeared during price bottoming phases.

The analyst believes that this period will not last long as new XRP ETFs are launched almost every week and the inflows are quite impressive. In fact, spot Ripple funds have significantly outperformed their BTC, ETH and SOL counterparts since the first hit US markets in mid-November.

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CW added that global liquidity is increasing, which, in addition to growing inflows into spot XRP ETFs, could result in a significant price increase for the underlying token. For now, however, XRP remains just inches above the crucial support at $2.00. It’s still in the red on a year-over-year basis, even though the company behind it posted its best year yet.