XRP is currently searching for a bottom after a significant price decline from its 2025 highs. Broader market factors, including historical trends and shifts in investor sentiment, are influencing XRP’s price action.
What to Know:
- XRP is currently searching for a bottom after a significant price decline from its 2025 highs.
- Broader market factors, including historical trends and shifts in investor sentiment, are influencing XRP’s price action.
- The timing and strength of XRP’s recovery could impact liquidity and trading strategies for institutional investors.
XRP has experienced considerable volatility since late 2024, reaching new all-time highs in July 2025 before declining significantly. Currently trading below $1.40, down 62% from its peak, the asset is facing bearish pressure. Market participants are closely watching for signs of a bottom, which could signal a potential trend reversal.
Bottoming Out
Before XRP can initiate a sustained recovery, it needs to establish a firm bottom. Historical data indicates that February tends to be a weak month for XRP, but recent market dynamics suggest a bottom may be near. A sharp 50% decline from January to February was met with buying interest, and deeply negative funding rates, which have historically preceded rallies, have been observed.
Potential for Recovery
If XRP can find a bottom by the spring of 2026, it could enter a phase of base-building and recovery. Regaining the 50-day EMA, currently around $1.80, would signal a potential exit from bearish territory. Overcoming this level would suggest renewed bullish momentum.
Catalysts for a Bull Run
While some anticipated catalysts, such as the resolution of the SEC lawsuit and the potential approval of spot XRP ETFs, are already factored into the price, new catalysts may be needed to fuel a full-fledged bull run. A conservative estimate places a potential summer target around $2.40. Reclaiming the $2 level would likely signal the end of the bear phase.
Long-Term Targets
A full-on bull phase is not expected to begin until at least Q3 or Q4 of this year. Once it begins, XRP is positioned to benefit significantly. Aggressive institutional adoption scenarios could see XRP reaching $8 by the end of 2026, with longer-term consolidation breakout targets in the $8-13 range.
Market Outlook
The overall sentiment suggests a cautious but optimistic outlook for XRP. While the asset faces immediate challenges in finding a bottom, the potential for recovery and significant gains remains. Monitoring key technical levels and broader market developments will be crucial for institutional investors navigating this period.
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Source: Original article
Quick Summary
XRP is currently searching for a bottom after a significant price decline from its 2025 highs. Broader market factors, including historical trends and shifts in investor sentiment, are influencing XRP’s price action. The timing and strength of XRP’s recovery could impact liquidity and trading strategies for institutional investors.
Source
Information sourced from official Ripple publications, institutional research, regulatory documentation and reputable crypto news outlets.
Author
Ripple Van Winkle is a cryptocurrency analyst and founder of XRP Right Now. He has been active in the crypto space for over 8 years and has generated more than 25 million views across YouTube covering XRP daily.
Editorial Note
Opinions are the author's alone and for informational purposes only. This publication does not provide investment advice.
