The US Federal Reserve has withdrawn crypto guidance for US banks, a move that could bode well for Ripple’s RLUSD stablecoin and XRP price. With the likelihood that US banks might begin adopting US-made stablecoins like RLUSD, speculation is rife about how high XRP will go and whether it could hit $10.
XRP value today trades at $2.19 with a 2.7% decline in 24 hours. This altcoin is experiencing choppy price movements after the recent rally stalled once the altcoin hit the $2.30 barrier.
Will XRP Price Hit $10 if New Fed Policy Paves Way for RLUSD?
XRP price can rally to $10 if the Fed’s withdrawal of guidance on how banks interact with crypto assets and USD-backed stablecoins paves the way for RLUSD. The Fed stated that it will no longer be a requirement for US banks to seek prior approval before engaging in crypto and stablecoin activities. Per the statement,
“The Board will no longer expect banks to provide notification and will instead monitor banks’ crypto-asset activities through the normal supervisory process.”
This report comes amid the growth of the RLUSD stablecoin, which currently has a $294M market cap. As Coingape recently reported, RLUSD volumes surged by 45%, as optimism grew among traders that the new Fed policy would pave the way for the adoption of US-made stablecoins.
As RLUSD gains traction, it is poised to benefit the XRP price due to increased confidence in the Ripple blockchain. One of the targets that Ripple might hit with widespread RLUSD adoption is $10.
Analyst BarriC believes that an XRP rally to $10 is likely to happen towards the end of 2025 as US banks and institutions start adopting Ripple. Meanwhile, other bullish catalysts, such as massive inflows to spot XRP ETFs per JPMorgan analysts, might also drive such a rally.
XRP Technical Analysis: Price Enters Demand Zone
The weekly XRP price chart shows that the altcoin has entered a demand zone where buying activity was previously concentrated. This suggests that there is room for Ripple to bounce higher if buyers step in and overwhelm sellers taking profits after the recent upswing.
If Ripple bounces from this demand zone, the immediate target for the price lies at the $2.72 resistance level. If this altcoin can flip this resistance, it will kickstart an uptrend past $3, paving the way for this altcoin to record an all-time high. However, the bullish thesis will be invalid if XRP falls below the support level of $1.90.
The RSI has bounced off 50, indicating that bullish momentum is rising, and a rally is likely. If the RSI continues to rise above 50, it will signal a bullish comeback that might drive the XRP price to $2.72. However, the RSI line continues to oscillate below the signal line, implying that buyers have not taken full control of the price action, and Ripple might consolidate within the demand zone.
At the same time, the AO histogram bars are decreasing despite remaining above the zero line, indicating that the bullish momentum is growing weak. This further makes the case for why Ripple might oscillate within the demand zone until a surge in buying pressure triggers a strong move.
To sum up, the recent change in guidance by the Federal Reserve suggests that the RLUSD stablecoin might gain widespread adoption and help support an XRP price rally to $10. Meanwhile, Ripple is currently trading within a demand zone, where buyers were previously active, and this may also support an uptrend.
The post Will XRP Price Hit $10 as Fed Withdraws Crypto Guidance for US Banks, Paving Way for RLUSD? appeared first on CoinGape.
