NEW YORK, Feb 20, 2026, 13:03 EST — Regular trading hours
- XRP traded around $1.43, up roughly 2%. The token’s range for the last 24 hours: $1.38 to $1.44.
- Traders scrambled to recalibrate their expectations for Federal Reserve rate cuts after U.S. inflation came in hotter than forecast.
- Washington is back at the table on the CLARITY Act. Stablecoin “rewards” remain the main hurdle.
XRP bounced roughly 2% to trade near $1.43 on Friday, clawing back earlier losses from the start of the month, according to CoinMarketCap. Over the past 24 hours, XRP’s range ran from $1.38 to $1.44, with trading volumes clocking in at about $2.5 billion. 1
Crypto traders find themselves pulled in two directions yet again: U.S. interest-rate bets on one side, regulatory uncertainty on the other. Both factors remain unsettled, giving little for anyone to lean on right now.
Fresh numbers on rates indicate that U.S. core inflation came in hotter than forecast at the close of 2025, suggesting the Fed might need to hold rates elevated for a while yet. The core PCE price index, which the Fed favors for its exclusion of food and energy, climbed 0.4% in December and marked a 3.0% year-over-year gain, according to a Reuters poll. “It tends to be a very volatile category,” said Barclays economist Pooja Sriram, noting that a spike in legal services could be skewing the short-term picture. 2
XRP feels the pinch because when rates climb, risk appetite shrinks and non-yielding assets lose their shine. For months now, crypto’s been tracking macro moves, not telling its own story.
Policy is another flashpoint. On Thursday, U.S. officials sat down with banks and crypto groups at the White House to hash out how stablecoin rewards might fit into the proposed Digital Asset Market Clarity Act, according to Decrypt. Stablecoins—crypto tokens pegged to a value, usually $1—are at the center of a debate: should the “rewards” they offer be classified like traditional bank interest? Ji Hun Kim, CEO of the Crypto Council for Innovation, described the session as “focused working engagement,” adding that more talks are on the horizon. There’s still no deal. 3
Broader markets wavered, though the tone skewed positive following the U.S. Supreme Court’s move to overturn President Trump’s tariffs—a call interpreted by investors as a plus for both trade and company earnings. Bitcoin edged up 0.65% to $67,349.65, while ether tacked on 0.38% to reach $1,955.40, according to Reuters. 4
XRP tends to move in bitcoin’s wake, though its connection to Ripple Labs adds a different twist. Ripple incorporates XRP into a handful of its payments offerings. Last year, a significant legal hurdle cleared when the U.S. Securities and Exchange Commission dropped its lawsuit against Ripple, but the company was still hit with a $125 million fine. 5
The route from “less legal risk” to real, lasting demand isn’t a smooth one. Sticky inflation could force rate-cut hopes to slip even further out, dragging crypto lower in a hurry. And if lawmakers in Washington lock in a stablecoin crackdown and ban rewards, traders warn U.S.-linked platforms could see activity slump, taking sentiment down with it.
Next up for traders: the U.S. personal income and outlays report, featuring the PCE inflation figures, hits on March 13 at 8:30 a.m. EDT. 6
