XRP Investment: 7 Reasons Why Experts Urge You to Hold

XRP investment continues to stir debate among crypto enthusiasts, especially as market fluctuations prompt uncertainty. However, Edo Farina, founder of Alpha Lion Academy, strongly advises against selling XRP right now. According to Farina, the digital asset is on the verge of a major upswing, and selling could mean missing out on potential gains.

While recent price volatility has shaken confidence—XRP dropped from $2 to around $1.60 earlier this month before quickly recovering—the cryptocurrency has managed to stabilize around the $2 mark in recent days. This has left many traders unsure of their next move.

Despite technical analyses that suggest a bearish outlook, such as a rising wedge pattern indicating a revisit to $1.60, Farina remains optimistic. Investor concerns have been amplified by global uncertainties like tariff disputes affecting financial markets. Nonetheless, Farina laid out seven compelling reasons to hold onto XRP.

1. SEC Lawsuit Resolution Could Unlock XRP’s Potential

A key reason to stay invested in XRP is the potential end to the long-running legal battle between Ripple and the U.S. Securities and Exchange Commission (SEC). The case, which has overshadowed XRP’s growth, is nearing its final stages. The SEC has agreed to a reduced fine of $50 million and intends to drop the permanent injunction against Ripple’s operations.

Both Ripple and the SEC have requested the court to freeze the proceedings for 60 days, suggesting a final settlement is imminent. Once resolved, this legal clarity could pave the way for a surge in investor interest.

2. Upcoming Spot XRP ETFs

Farina pointed to growing institutional interest, particularly through proposed spot XRP ETFs. Several asset managers have filed with U.S. regulators to allow these investment vehicles. If approved, these funds would offer both retail and institutional investors a regulated route to access XRP, increasing capital inflow and boosting overall demand for the asset.

3. True Market Valuation Yet to Emerge

Another factor supporting a “hold” strategy is the belief that XRP has not yet reached its fair market value. Regulatory challenges have previously suppressed its price, but with those issues being addressed and ETFs potentially introducing more liquidity, Farina believes XRP could finally reach its true worth.

4. Regulatory Clarity on the Horizon

Regulation remains a barrier to widespread crypto adoption. However, the U.S. is making headway in offering more transparent rules. Recent SEC guidance clarified that many assets, including Ripple USD (RLUSD), don’t qualify as securities, as highlighted in this report. Additionally, a stablecoin regulation bill is progressing through Congress, soon to be voted on by lawmakers (source).

5. Government Support for Crypto

Farina also noted the significance of U.S. President Donald Trump’s favorable stance toward cryptocurrencies. His pro-crypto position could mean more accommodating policies and potentially federal-level adoption of digital assets. As reported, Trump’s executive directives include plans to include XRP in national reserves, signaling strong governmental interest.

6. Growing Role of RLUSD

Ripple’s stablecoin, RLUSD, is just beginning its journey, but it already shows promise. Prime broker Hidden Road recently announced plans to use RLUSD as collateral in clearing some of its $3 trillion yearly trading volume. As RLUSD’s role expands, demand for XRP could increase because it’s used for transaction fees and collateral purposes.

7. Ripples of Upcoming Partnerships

Lastly, Farina hinted at new announcements from Ripple that could boost XRP adoption. The firm is expected to unveil partnerships centered on using XRP for cross-border payments. These collaborations could elevate demand and enhance the digital asset’s utility across different sectors.

Related: Expert Advice: Sell XRP If You’re Confused

Taking all seven factors into account—ranging from legal resolution to heightened institutional and governmental interest—Farina maintains that XRP remains a strong contender for future growth. He advises current investors to hold their positions and prepare for what may be a significant rally in the coming months.