XRP Investment Outlook: Is Now the Right Time to Buy?

The current state of the XRP market has prompted renewed discussion within the crypto community about whether XRP is a sound investment. As XRP faces mounting bearish momentum, experts have begun weighing in on the coin’s long-term potential and short-term viability.

Crypto influencer Lark Davis recently ignited discussion on social media, highlighting both strengths and concerns with XRP’s current performance. Despite widespread sell-offs affecting the broader market, XRP has held its place as the fourth-largest cryptocurrency by market capitalization. The coin has shown resilience in defending its support levels, offering a mixed but compelling picture for traders and investors alike.

Davis acknowledged XRP’s enduring presence in the market, yet he pointed out significant technical weaknesses. According to him, the digital asset’s chart appears highly strained, with multiple brushes against its 200-day Exponential Moving Average (EMA). The coin has tested this critical support level four times since late May without sparking any notable upward trends.

Still, he doesn’t view the situation entirely negatively. For short-term traders, Davis believes the 200-day EMA offers strategic buying opportunities. He referred to positions near this level as “decent trades” for those watching XRP closely.

Evaluating XRP’s Long-Term Investment Potential

When it comes to long-term holdings, Davis urged caution. He admitted that he wouldn’t personally accumulate a large quantity of XRP unless it was to capitalize on potential ETF news later this year. Spot investors, in his view, should be prepared for further volatility before any significant upside emerges.

By October 2025, the U.S. Securities and Exchange Commission is expected to deliver a final decision on several pending spot XRP ETFs. The SEC has postponed judgments multiple times, but the October deadline is seen as pivotal. Davis believes that if approved, the announcement could trigger a wave of retail buying due to fear of missing out (FOMO), potentially leading to significant price movements.

Comparing Risk-Reward: Litecoin vs XRP

Interestingly, Davis expressed a preference for Litecoin over XRP when considering ETF-driven gains. If forced to invest $100,000 between the two, he stated he would opt for Litecoin. Why? Litecoin’s current market cap sits around $6 billion, significantly smaller than XRP’s $120 billion. This disparity suggests that LTC might have a greater upside if ETF speculation leads to a bull run.

Using this rationale, Davis projected Litecoin could quadruple in value more rapidly than XRP, thanks largely to the lower market cap. That said, he’s not dismissive of XRP’s growth potential. He noted XRP’s remarkable surge from last November through January, when it rallied over 700%. Even now, the token has retained more than 300% of those gains year-on-year. In contrast, Litecoin has only appreciated by 9% over the same period.

Still, Davis contends that Litecoin currently offers a stronger risk-to-reward profile, especially in anticipation of ETF developments.

Technical Outlook from Other Analysts

Meanwhile, not everyone shares Davis’s moderately optimistic stance. Other technical analysts are taking a more conservative approach. For instance, crypto analyst Arthur argued that XRP is overpriced at its current level around $2. According to his chart analysis, investors may find more favorable entries if the price dips closer to the $1.30 range — or even lower, between $1.05 and $1.10. He identified these levels as ideal for opening long positions.

Arthur’s technical charts suggest that the current market rally might still face several downturns before stabilizing, making patience a key factor for potential buyers.

A Split Opinion on XRP’s Future

Despite mixed signals from the technical side, a segment of the market remains bullish. Some analysts are confident that XRP could climb above $10 before the end of the year. These commentators regard the present retracement as inconsequential, arguing that historical performance and future catalysts like ETF approvals justify optimism.

In summary, XRP continues to stir divided opinions. While some market observers advise waiting for more favorable technical setups, others believe the fundamentals — especially the looming ETF decisions — could turn the tide quickly. Whether you’re a trader looking for strategic entries or a long-term investor seeking exposure to Ripple’s ecosystem, the coming months may prove to be pivotal.

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

For now, the broad takeaway seems to be that XRP remains a high-potential asset, albeit one with notable risks. Strategic positioning and timing — particularly around key support zones and regulatory milestones — will likely determine success in navigating XRP’s shifting landscape.