XRP has shown remarkable resilience, recording a 3% increase in the past 24 hours and surging 17% from its September 1 low of $2.69, now trading above $3. Market analysts believe this upward momentum could signal further price increases for the cryptocurrency, supported by both fundamental and technical indicators.
Technical analysis of XRP’s price action reveals the formation of bull flag patterns on the weekly chart, suggesting the potential for a substantial breakout that could see the altcoin reach as high as $15. The smaller bull flag, which emerged in mid-June, was only recently resolved with XRP breaching its upper boundary at approximately $3. Analysts estimate the next target for this pattern at around $5.80, representing a 46% increase from current levels.
According to analysts from Crypto Pulse, “XRP is forming a continuation pattern known as a bull flag, which typically indicates the next upward movement in price.” This pattern has gained traction since late August, with predictions hinting at XRP moving towards the $5 level and potentially beyond.
In parallel, a more extensive bull flag that has been evolving since November 2024 could bring XRP to an even higher target, particularly after confirming a breakout in July that propelled the price to nine-year highs above $3.66. So, with the pattern still active, XRP might continue its trajectory toward a measured target of $15.80, which could represent an increase of 408% from current values.
Moreover, analyst Egrag Crypto has identified a megaphone pattern on the five-day chart, suggesting a projected price range of $6 to $7 by mid-November based on fractal analysis. This technical insight provides additional context for the positive outlook on XRP’s price action.
Further bolstering the optimistic sentiment regarding XRP is the recent launch of the REX-Osprey XRP ETF, which began trading in U.S. markets following its approval by the SEC. This product marks a significant milestone as the first spot XRP ETF available under U.S. regulatory oversight. The launch is governed by the Investment Company Act of 1940, which enables automatic approval after a 75-day review period unless the SEC raises objections.
The introduction of this ETF could serve as a game-changer for XRP, potentially unlocking substantial institutional investment in the altcoin’s market. Nate Geraci, president of ETF Store, remarked that the ETF will serve as a crucial indicator for demand for spot XRP products, particularly amidst strong interest already seen in futures-based XRP ETFs, which are approaching $1 billion in assets.
In addition to the ETF launch, Ripple’s recent collaboration with DBS Bank and Franklin Templeton to establish a tokenized money market fund on the XRP Ledger may further enhance XRP’s real-world utility and network demand, consequently impacting its price positively.
As XRP navigates this pivotal moment, both technical patterns and new financial products position the cryptocurrency for potential future growth. However, investors are reminded to conduct their own research and consider the inherent risks associated with cryptocurrency trading.
