Can XRP Hit $2? Here Is Why the Senate Vote Matters

XRP currently sits in the mid $1.40 range, but reaching $2 remains a significant test for the asset. Data shows that over 70 percent of XRP's realized capitalization is held by investors who purchased their coins between six months and two years ago. These holders have an average entry price above $2, meaning many are waiting for the price to rise so they can exit their positions without a loss.

Recent on chain data shows high trading activity on Binance, with significant inflows and outflows signaling a rotation of assets rather than a clear trend. While newer investors who bought at lower prices are currently in the green, the sheer volume of coins held by the older cohorts creates a massive supply wall. If the price moves toward $2, the market will soon find out if these long term holders decide to hold or cash out.

Investors are now looking toward Washington for a potential catalyst. A Senate procedural vote on the Digital Asset Market Clarity Act is on the horizon. While this step only moves the bill toward debate, a positive outcome could boost broader market sentiment regarding digital commodities. Traders will be watching to see if this legislative progress coincides with a surge in spot demand to push XRP through its heavy cost basis zone.