XRP Price Prediction: Will XRP Hold Above $2.27 or Risk a Fall?

XRP’s price movement remains a hot topic for traders as it tests a crucial support level that could dictate its next major move.

Crypto traders are keeping a close eye on XRP’s price movement as it tests a crucial support level that will dictate its next major move.

To illustrate, crypto analyst Ali Martinez has created a chart showing how XRP must hold above $2.27 to maintain its uptrend.

A drop below this level could halt its bullish momentum, while a successful hold may propel the token toward $3.

Presently trading at $2.44, XRP’s price action has been contained within an ascending parallel channel on the four-hour chart since December 2024. Despite market fluctuations, it continues to set higher lows, confirming its long-term uptrend.

Of late, however, XRP has slipped below the median line of this channel and is now testing the lower boundary.

Crucial $2.27 Level: Uptrend Lifeline or Trapdoor?

As depicted in the chart shared by Martinez, a break below $2.27, which coincides with the Fibonacci 23.6% retracement level, could potentially reverse XRP’s current uptrend.

On the other hand, remaining strongly above this support could generate enough momentum to drive XRP toward $3, which sits around the 78.5% Fibonacci retracement level.

notably, XRP has already bounced off this support twice in February, indicating strong demand within this price zone.

Related: XRP Primed for Major Breakout? Analyst Pinpoints Bold $8.76 Target

Market Cap and Growth Projections

Crypto analyst Steph Is Crypto highlights a major breakout pattern in XRP’s market capitalization chart.

The analysis suggests a potential double-bottom breakout, with a target of $3.4 trillion. If this projection plays out, XRP’s price could surge to $59 per token, a massive 24x increase from its current level.

#XRP’s market cap chart confirms a double bottom breakout with a $3.4T target.

If it hits $3.4T, that’s $59 per XRP — a 24x move from here! pic.twitter.com/0uSLXDrlnZ

Such a move would require substantial capital inflow and sustained demand. Still, with more and more interest from institutional investors and developments in the ETF space, XRP’s long-term potential remains strong.

Institutional Interest in XRP ETFs Builds Steam

The race to launch XRP-based ETFs is really heating up as major financial institutions are positioning themselves for regulatory approval.

Grayscale has proposed converting its XRP Trust into an ETF, while Nasdaq is pursuing listings for both XRP and Litecoin ETFs through CoinShares. CBOE, on the other hand, has a slew of applications from asset managers like Canary, 21Shares, Bitwise, and WisdomTree.

Related: XRP ETFs Edge Closer to SEC Approval Following Multiple 19b-4 Filings

Pro-XRP lawyer Jeremy Hogan believes that the approval process for these ETFs may not take long. However, he notes that the S-1 registration could extend the timeline to eight to twelve months.

Even with regulatory hurdles, demand for crypto-based ETFs is on the rise, with more firms betting big on the growing interest in XRP.

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