Ever since the start of the year, the XRP price has gained immense attention as the token spiked over 70% and marked a 7-year high. Besides, the optimism surrounding the Ripple vs. SEC lawsuit following Donald Trump’s inauguration has increased heavily, suggesting a major price action could soon follow. In the meantime, yet another bullish update has built more confidence in the XRP price rally, with the SEC acknowledging Grayscale’s spot ETF filing.
With more possibility of an approval of spot XRP ETF in 2025, is a new ATH for XRP price loading?
With the SEC acknowledging the ETF filing, the XRP price witnessed a notable rise in the buying pressure that pushed the price above $2.5. Meanwhile, this does not appear to have heavily impacted the price, as the market participants find the approval to be a bullish signal rather than just an acknowledgement of a filing. Along with XRP, DOGE ETF was also recognized and similar to XRP price, DOGE price remains stuck within the same range.
The daily chart of XRP suggests the price has broken down from a rising wedge and, after testing the local bottoms, is trying to validate a U-shaped recovery. While the MACD suggests a bullish continuation, the Ichimoku cloud raises concerns over the next price action. The +Di, which was heading towards a bullish crossover with the -Di, has triggered a bearish divergence. This suggests the selling pressure still mounts over the rally and hence the probability of a pullback may not be ruled out.
Besides, the volume has also plunged heavily, which could drop the pace of the ongoing recovery. Therefore, the price is expected to maintain a sluggish trend until the buying pressure does not mount and push the price beyond the pivotal resistance at $2.8. On the other hand, the whales move over $430M worth of XRP, which hints towards strategic shifts by major holders. These large transactions may not impact the price but market sentiments flow in the direction of the whale movements.
Now that the sentiments have turned bullish with a higher probability of approval for XRP ETF, the closure of the Ripple vs. SEC lawsuit may act as icing on the cake. Therefore, the future outlook of XRP in 2025 appears to be extremely bullish, as an approval & closer may trigger a strong rally above $4, intending to surpass $5 later this year.
