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Here’s Why XRP Price Can Rally To $6 Despite Recent Dip
XRP price has recorded a dip of nearly 6% today amid gloomy trading noted in the broader crypto market. This recent dip has fueled discussions among investors over the potential reason behind the retreat. However, despite the recent volatility, analysts remain optimistic about the future trajectory of Ripple’s native crypto.
So, here we explore some of the top reasons that could support a rebound and a further rally in the crypto’s price ahead.
Why Is XRP Price Poised To Rally Ahead?
A flurry of market trends indicates that XRP price is gearing up for further rally in the coming days. For context, the recent launch of Ripple’s stablecoin RLUSD has fueled market optimism. Also, this launch indicates a potential shift towards a pro-crypto regulatory environment in the US, bolstering market confidence.
As Donald Trump pledged to make the US the crypto capital, the market optimism remains high. In addition, it also fueled hopes over a bullish road ahead for the crypto issued by the US firms, which includes XRP by Ripple, HBAR by Hedera, ADA by Cardano, and others.
On the other hand, the soaring optimism towards a potential XRP ETF launch in the coming days has further boosted sentiments. Notably, Bitcoin has received immense traction globally after the US Spot Bitcoin ETF launch in the US in January 2024. Having said that, the same investment instrument for Ripple’s native coin could spark a massive rally for the crypto ahead.
Recently, Bloomberg analyst Eric Balchunas has fueled optimism with his recent predictions of crypto ETFs. He said that “a wave of cryptocurrency ETFs” is expected as soon as next year. To name some, he said that Litecoin, HBAR, XRP, and Solana, might see their ETF launch in 2025, citing key reasons.
What’s More?
XRP price has faced immense pressure lately due to regulatory pressure and the ongoing SEC lawsuit. However, Donald Trump’s win has fueled optimism over a pro-crypto regulatory environment in the US. Besides, the recent resignation announcement of US SEC Chair Gary Gensler in January has further bolstered sentiments.
Amid this, Fox Journalist Eleanor Terret said that the US Senate Banking Committee will not renominate SEC Commissioner Caroline Crenshaw to her position. Notably, many in the crypto community deems Crenshaw as an anti-crypto regulator like Gary Gensler. So, this latest report from Terrett appeared to have boosted market sentiments.
On the other hand, the market sentiment remained high, as evidenced by the recent Ripple whale transactions. The whales are on a buying spree as evidenced by their accumulation of 830 million coins earlier this week. In addition, popular crypto market expert Ali Martinez said that the whales have purchased an additional 30 million XRP recently.
Will Ripple’s Native Crypto Hit $6 Ahead?
XRP price today slumped about 6% and exchanged hands at $2.53, while its one-day trading volume declined by 12.32% to $15.95 billion. Notably, the crypto has touched a 24-hour high of $2.67, while recording a monthly gain of 125%. Despite that, the XRP Futures Open Interest fell about 11% amid a gloomy sentiment noted in the broader crypto market.
Meanwhile, the recent downturn in Bitcoin and top altcoins prices indicates that investors are taking a pause ahead of the US FOMC later today. However, a crucial index performance also indicates that the altcoins might face pressure in the coming days. In addition, Arthur Hayes has also predicted a potential crypto market crash, which has fueled market discussions.
Despite that, it appears that the market experts remain bullish. Amid the whale activity and other positive market trends, a top market expert predicts a potential XRP rally to $6 in the coming days.
Popular market expert Dark Defender said that “XRP doesn’t follow any news but his Pattern”, showcasing his confidence in the asset. In addition, he also predicted a potential correction recently, which has further fueled discussions in the market.
Meanwhile, in another X post, Dark Defender noted that XRP might face a correction ahead and hover between the $2.42 and $2.52 region. However, once it breaks the crucial $2.52 level, it could target $2.92 next, following which it could continue its run toward $3.43. Once it achieves this level, the crypto is poised to hit $5.85, the analyst noted while fueling market sentiments.
Rupam Roy
Rupam is a seasoned professional with three years of experience in the financial market, where he has developed a reputation as a meticulous research analyst and insightful journalist. He thrives on exploring the dynamic nuances of the financial landscape. Currently serving as a sub-editor at Coingape, Rupam’s expertise extends beyond conventional boundaries. His role involves breaking stories, analyzing AI-related developments, providing real-time updates on the crypto market, and presenting insightful economic news.
Rupam’s career is characterized by a deep passion for unraveling the complexities of finance and delivering impactful stories that resonate with a diverse audience.
Disclaimer: The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.
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