- XRP may replicate 2017’s 63,000% rally, with recent technical patterns indicating a strong breakout potential.
- Institutional adoption grows as Bank of America fully integrates Ripple’s tech, signaling bullish sentiment for XRP.
Ripple’s XRP is gaining attention as analysts predict a potential rally similar to its historic 2017 surge. The cryptocurrency saw a 2.5% price increase last week, reigniting bullish sentiment. Back in 2017, XRP skyrocketed by 63,000%, moving from $0.006 to an all-time high of $3.84 in early 2018. Analysts now see strong indicators pointing toward another major uptrend.
Analysts are drawing parallels to the 2017 scenario, suggesting that the token is positioned for a repeat of its historic performance. Prominent analyst Charting Guy pointed out that if XRP can sustain its current momentum and close the week in the green, it could very well be on the same trajectory as in 2017.
Supporting this bullish outlook, veteran trader Peter Brandt highlighted a flag pattern on XRP’s price chart, which is often considered a continuation signal. Brandt proposed that this technical setup could propel XRP’s market valuation from its current $139.72 billion to an astounding $500 billion if the pattern resolves within the next six weeks.
Technical Signals and Market Optimism Fuel Rally Potential
On the daily chart, XRP has formed a descending channel pattern, characterized by consecutive lower highs and lower lows. This pattern is typically considered bearish; however, it often serves as a precursor to a strong upward breakout if price action can convincingly pierce through the upper boundary.
XRP’s recent price behavior indicates a significant test of this pattern. After hitting a low near $1.76, XRP has rebounded, suggesting strong buying interest at lower levels. The immediate resistance lies around $2.42, which XRP needs to overcome to validate the potential bullish reversal. A break above this level could quickly propel the price toward the next key resistance at $3.00.
Adding to the bullish outlook is the Relative Strength Index (RSI), which reads at a neutral 52.10. This suggests that XRP is neither overbought nor oversold, presenting an opportunity for movement in either direction
Technical analysis indicates a critical juncture for XRP, needing to reclaim the $2.70 level to sustain its momentum. After a recent rejection at the $3.30 mark, XRP’s price dipped to $1.76, showing the volatility and resistance levels traders might navigate in the coming weeks.
Institutional Adoption and Regulatory Updates to Propel XRP Forward
The cryptocurrency’s future is also buoyed by increasing institutional adoption and significant regulatory developments.In a pivotal development for Ripple, David Stryzewski, CEO of Sound Planning Group, announced that Bank of America has fully integrated Ripple’s technology for its internal transactions, significantly enhancing optimism within the XRP community.
Adding to this positive momentum, Ripple CEO Brad Garlinghouse emphasized the pro-crypto stance of the Trump administration, noting that 75% of Ripple’s workforce has relocated back to the U.S., signaling a beneficial regulatory environment.
As reported by CNF, the approval of XRP ETFs may be on the horizon in 2025, bolstered by Donald Trump’s pro-crypto administration. Analysts indicate that while Bitcoin and Ethereum ETFs currently dominate the market, there’s growing demand for ETFs associated with other cryptocurrencies like XRP.
Market Activity and Trading Volume Highlight Growing Interest
XRP’s trading dynamics on centralized exchanges have shown positive signs, with net inflows turning favorable after several days of outflows. Recently, more than $15 million in XRP flowed into centralized exchanges like Bybit and Kraken, highlighting a surge in trading interest, according to Coinglass data.
This trend follows net inflows that turned positive early Thursday after a period of outflows, coinciding with a record month for XRP’s decentralized exchange. XRP is currently trading below key support levels, facing immediate resistance at $2.49 and additional resistance at $2.60. These inflows might indicate an intention to sell, potentially dampening the chances of an upcoming rally.
Despite a pullback earlier in the month where prices dropped to $1.76, market analysts, including Nishant Bhardwaj, emphasized the importance of breaking through the $2.70 level to maintain upward momentum, with the next significant resistance observed at $3.30.
The potential involvement of Ripple’s CEO, Brad Garlinghouse, in President Donald Trump’s Crypto Advisory Council could further impact U.S. policies on cryptocurrencies. This highlights the broader conversation around government-backed digital reserves and the regulatory landscape shaping the future of cryptocurrencies like XRP.
