XRP (XRP) has booked an 11% gain in the past 7 days, bringing the token’s year-to-date gains to 28%, as the crypto market has progressively recovered ahead of this week’s Fed meeting.
A rate cut is considered a “done deal” by market participants, as the CME Group’s Fed Watch survey indicates a 99% probability of a 25bps cut.
Market sentiment has been improving lately ahead of this widely awaited event.
Crypto Fear and Greed Index – Source: CoinMarketCap
The Fear and Greed Index has jumped from a 30-day low of 25 to 42 at the time of writing, as investors shake off the uncertainty that President Donald Trump caused with his decision to raise tariffs by 100% on Chinese imported goods.
Meanwhile, the market cap of Ripple USD (RLUSD), the network’s native stablecoin, is about to reach $900 million for the first time in history, underscoring the rapid growth that the Ripple ecosystem is experiencing lately.
This token was launched in December 2024, and its market value has climbed at a fast pace as the project keeps securing partnerships with top exchanges and key licenses in multiple countries to allow enterprises to make dealings with RLUSD.
The latest uptick in the price of XRP follows the launch of Evernorth’s massive corporate treasury, which now holds $1 billion worth of the token.
REX-Osprey XRP ETF (XRPR) Stats – Source: REX-Osprey Website
This company would join VivoPower International in the list of XRP-focused treasuries that have already carried out their strategies, while multiple other publicly listed firms like Trident Digital Tech Holdings are negotiating with investors to launch similar initiatives.
Meanwhile, the REX-Osprey XRP ETF (XRPR) has surpassed the $110 million mark in assets under management, as institutional interest for altcoins keeps growing.
Although Trump temporarily derailed altcoin season, XRP’s daily chart still points to an ongoing consolidation. These technical setups tend to indicate accumulation by market participants, and could anticipate a big boost in the price.
What XRP needs at the time is another catalyst that manages to push the price above its all-time high. Ethereum (ETH) and BNB Coin (BNB) have paved the way, as these two have already reached new price records during this cycle.
XRP could play catch-up at some point, and the only reason why this move has been delaying seems to be that the market is taking a breather following the massive 500% rally that the token experienced between October 2024 and January 2025.
The daily chart shows that XRP climbed above the 200-day exponential moving average (EMA) in the past few days, favoring a bullish long-term outlook for the token.
XRP/USD Daily Chart (Bitstamp) – Source: TradingView
However, a key trend line resistance stands in the way of XRP to fully reverse its downtrend. A move to $3 at this point would confirm that this altcoin is once again targeting a new all-time high.
This consolidation phase has lasted more than 10 months now, emphasizing the market’s reluctance to push the token higher. What exactly would it take for XRP to reach $4 or $5? Possibly, much higher ETF inflows.
Multiple XRP ETFs will be launched soon and join REX-Osprey’s first spot vehicle for the token. Once that happens, the demand for the token should accelerate enough to push it to $4 for the first time in history.
The Relative Strength Index (RSI) has sent a buy signal, and the stage looks set for a bullish breakout. If we get a move above $3, the road should be paved for a retest of the $3.7 level shortly, meaning a 42% upside potential from where XRP is now.
Alejandro Arrieche specializes in drafting news articles that incorporate technical analysis for traders and possesses in-depth knowledge of value investing and fundamental analysis.