3 reasons why Ripple Labs’ XRP is primed for a big upside move
XRP, the native cryptocurrency of the decentralized blockchain created by Ripple Labs, remains in a consolidation phase as top peers like Solana, Polkadot, and Cardano fall by double digits.Â
Ripple (XRP) was trading at $2.39 at last check on Saturday — a few points below its 2024 highs. Still, key fundamental and technical catalysts could supercharge it in the next few months.
XRP whales buy the dip
Whale accumulation is one of the most popular bullish catalysts for cryptocurrencies since these investors are believed to be more sophisticated. Data shows that XRP whales have continued to accumulate the coin as mood in the crypto industry worsens.
According to Ali Martinez, a popular crypto investor who cited Santiment data, showed that these whales bought 1 billion XRP tokens in the last 48 hours. That is an indicator that they are optimistic about the coin.
Ripple ETF approval hopes
Meanwhile, Polymarket traders are optimistic that the Securities and Exchange Commission will approve a spot XRP exchange-traded funds, or ETFs, in 2025. A small poll with just $5,000 in assets places these odds at 68%. Another poll with $30,000 places the odds that Ripple ETF will be approved by July 31 at 51%.Â
These hopes have remained elevated after Donald Trump won the election and promised to be a more crypto-friendly president. He has nominated Paul Atkins as the next SEC chair and started to create his artificial intelligence and crypto council.
Crypto ETFs have become highly popular among investors. The ProShares Bitcoin ETF has over $2.3 billion in assets, while spot Bitcoin ETFs have attracted over $36 billion in inflows. Bitcoin ETFs have over $107 billion in assets, while Ethereum ones have $11.6 billion.
In addition to XRP, crypto investors are betting on the potential approval of Solana, Hedera Hashgraph, and Chainlink ETFs.
XRP price has bullish technicals
Ripple has also formed strong technicals that could push its price significantly higher in the next few weeks.
The daily chart shows that XRP has been forming a bullish pennant pattern, one of the most popular continuation signs in trading. The lower side of the flag was at $0.4913, while the triangle pattern has been forming since December. A bullish breakout often happens when the two lines of triangle near their confluence.
XRP has remained above the 50-day moving average, while the MVRV indicator has dropped to 2.5, a sign that it is undervalued. Therefore, the initial level to watch will be the extreme overshoot point of the Murrey Math Lines followed by the 2024 high of $2.90 and then the psychological level at $3.
