XRP Faces Market Turbulence But Bulls Eye Long-Term Growth
Ripple’s native cryptocurrency, XRP, has faced significant price turbulence recently, with the coin nearing a critical breakdown below the $2 support level. The decline follows a broader market downturn driven by impending U.S. tariffs set to take effect on April 2, 2025. Despite the recent bearish trend, XRP’s future looks increasingly optimistic due to several major catalysts that could drive its price higher, according to various analysts and experts.
XRP Faces Market Turbulence But Bulls Eye Long-Term Growth
The market turbulence has cast a shadow over XRP’s price, as concerns about inflation and heightened volatility continue to affect investor sentiment. The coin’s drop below the $2 support level raises alarm bells for traders, with many uncertain about where the price might go next. Yet, despite the negative short-term price movement, XRP’s long-term outlook is receiving a significant boost.
Institutional Demand and ETF Filings Point to XRP’s Potential
A key factor driving optimism for XRP’s future is the increasing institutional demand. XRP has attracted attention from major financial institutions and banks, who are reportedly accumulating the coin over-the-counter (OTC) to avoid disrupting the market price. This growing interest could play a pivotal role in pushing XRP’s price upward. Additionally, Ripple is reportedly planning to limit these OTC sales, potentially forcing institutions to buy XRP directly from the open market. This could lead to greater demand and, ultimately, higher prices.
The Modern Investor, a well-known crypto analyst, pointed to the surge in ETF applications as a significant bullish catalyst for XRP. According to him, there are currently 17 different ETF filings dedicated solely to XRP. He believes that if these ETFs are approved, it could lead to a surge of capital flowing into the asset. The analyst emphasized that a price of $25 for XRP would not be far-fetched, calling it “completely, extremely, excessively undervalued” in comparison to the potential demand.
With the approval of multiple ETFs for XRP, institutional investors would have more opportunities to gain exposure to the coin, which could significantly elevate its price. In this context, XRP reaching $10 would feel like a stepping stone, with even higher targets in sight.
Historical Patterns Suggest a Potential Price Surge
Another factor fueling optimism around XRP is the formation of a potential “W” pattern in the coin’s price chart, as highlighted by popular analyst Egrag Crypto. The W pattern is a classic bullish formation that often precedes a major price breakout. Egrag Crypto suggests that XRP is currently in a double-bottom formation, which mirrors the price action seen during XRP’s 2017-2018 bull run.
If the W pattern holds and XRP breaks through resistance levels, the coin could experience a parabolic rise, potentially reaching targets as high as $27 within 60 days. Historical fractals and Fibonacci retracement levels further support this optimistic outlook, indicating that a breakout above the $3.82 level could trigger a significant surge in price.
Bearish Outlook From Some Analysts
Despite the bullish sentiment from several analysts, not everyone is as optimistic about XRP’s short-term prospects. Veteran trader Peter Brandt issued a cautionary warning, pointing to a bearish head-and-shoulders (H&S) chart pattern that could suggest a further 50% drop in the price of XRP. Brandt argued that unless XRP can surpass the $3.0 level, the coin may face a decline to as low as $1.07.
This warning highlights the risks involved in trading XRP, as its price action remains volatile and subject to both external factors like market conditions and internal factors like Ripple’s developments.
Conclusion: XRP’s Future Depends on Major Catalysts
At the time of writing, XRP was trading at $2.13, reflecting a 3.40% increase in the past 24 hours. While the coin continues to face short-term volatility, the long-term outlook for XRP remains strong, particularly as institutional interest grows and ETF filings continue to increase. With Ripple positioning itself to capitalize on these developments, XRP could soon see significant price growth, potentially surpassing $10 in the near future. However, traders and investors should remain cautious, as the coin’s price could also face substantial downside risk, depending on broader market conditions and internal factors.
