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XRP Price Surges on ETF Hype — But Could It Crash to $1.25?
Key Insights
The crypto market is buzzing with activity again, and XRP has retaken the spotlight.
While Bitcoin recently surged past the $95,000 mark on the back of several positive developments, XRP’s journey has been slightly more complex.
Despite making recent gains, analysts are warning that XRP could face another possible drop to $1.25 if it fails to break through a major resistance zone around $2.45.
Here are some of the factors influencing the price action of XRP, as well as the major indicators to watch and what the future might hold for this altcoin.
Bitcoin's Rally Sets the Stage
The general crypto market is currently riding a bullish wave that Bitcoin set in motion.
Bitcoin shot up more than 7% to reach $95,100 early on Sunday, mostly after U.S. President Donald Trump’s announcement to ease tariffs on Chinese imports.
Adding to the bullish environment, U.S. spot Bitcoin ETFs saw inflows of $3.06 billion over the past week.
The combination of macroeconomics and strong investor interest now appears to be doing much to lift the tide for many cryptocurrencies, with XRP being no exception.
The cryptocurrency has been up by around 4% gain over the past 24 hours before writing, while Solana and Cardano also saw smaller moves.
However, XRP’s rise is especially interesting, considering the many developments on the regulatory side.
For example, the U.S. Securities and Exchange Commission (SEC) has given ProShares the green light to launch the first-ever XRP futures ETF.
This ETF is scheduled for release on 30 April and comes shortly after Ripple’s legal victory over the SEC in March.
So far, ProShares plans to launch three XRP-linked products this week, in view of the clearer legal landscape.
$2.45 Resistance Could Be a Wall
Despite the positive momentum, many analysts are urging investors not to get carried away.
One of these is Egrag Crypto, a well-known voice in the XRP community. The analyst recently warned via Twitter (X) that unless XRP can stage a move past the $2.33–$2.45 resistance zone, the coin could see a pullback.
He pointed specifically to the 0.702 Fibonacci retracement level, which has historically acted as a springboard for major breakouts.
This means that if XRP fails to clear this level, it could trigger a correction.
"For #XRP to confirm that we haven't reached a bottom yet, we need to close above $2.33 and $2.45, which represent the upper edge of the Bull Market Support Band," he said
On the other hand, analyst Dark Defender pointed to $2.222 as a major zone to look out for, based on Elliott Wave analysis.
According to the analyst, XRP is near the end of its Monthly Wave 4 phase, which tends to come before larger trends.
XRP's Recent Performance
Over the past week, XRP has climbed by about 8%.
Some of these gains came earlier in the week when Brazil made headlines by launching the world’s first XRP ETF.
This marked another win for the asset on the global stage.
Still, despite the positive developments with Brazil and the ProShares ETF, resistance and support levels are keeping price action under the waves.
This means that investors are waiting for a clear breakout before making any major moves.
Technical indicators are offering mixed signals for XRP. The RSI, for example, has shown signs of recovery but hasn’t fully re-entered strong bullish territory.
At the time of writing, XRP’s RSI stands at 58.36, after rising from earlier lows of 47.34.
However, this still stands below the 77.7 reading seen just four days ago.
The XRP RSI is in the neutral-to-slightly-bullish range, and data shows that there is still room for upward movement.
If buying pressure builds, XRP could slowly grind higher. However, without it, the asset may continue trading sideways within its current range.
Support and Resistance Levels to Watch
As of now, XRP is trading between a resistance zone at $2.30 and a support level around $2.11.
If the cryptocurrency fails to hold the $2.11 support, it could drop to the next support level at $2.04.
If the bears persist, a deeper slide toward $1.96 could be in play.
All of the above means that the bulls need to defend the current support zones aggressively.
On the flip side, if XRP manages to break above the $2.30 resistance level with convincing volumes, the next targets are $2.50 and $2.59.
If the bulls continue to push, prices could surge further up toward $2.64.
Disclaimer: Voice of Crypto aims to deliver accurate and up-to-date information, but it will not be responsible for any missing facts or inaccurate information. Cryptocurrencies are highly volatile financial assets, so research and make your own financial decisions.