What to Know:
- XRP experienced a notable rally, breaking through the $2.30 resistance level amid increased institutional interest.
- A stablecoin-based settlement pilot involving Ripple, Mastercard, WebBank, and Gemini is underway using RLUSD on the XRP Ledger.
- Traders are closely monitoring XRP’s ability to sustain gains above $2.35 and the impact of potential ETF and regulatory developments.
XRP demonstrated strength in Tuesday’s trading session, rallying 4.9% to $2.35 and surpassing the critical $2.30 resistance. This surge was supported by near-doubled institutional volume, marking the token’s most substantial daily gain in a week. The positive movement positions XRP for a potential push towards the $2.50 mark.
Institutional flows have seemingly rotated back into XRP as other risk assets faced correction, with large holders accumulating near the $2.30 level after a period of price compression. The joint stablecoin initiative by Ripple, Mastercard, WebBank, and Gemini, utilizing RLUSD on the XRP Ledger, signals a broadening of enterprise use cases for Ripple’s technology. This pilot program is being viewed as a potential validation of Ripple’s infrastructure beyond its traditional focus on cross-border remittances.
From a technical analysis perspective, the bullish reversal is confirmed by the formation of higher lows, with immediate resistance observed in the $2.38–$2.39 range and an upside target set at $2.50–$2.60. The surge in volume, approximately 95% above the 24-hour average, further underscores the conviction behind the institutional interest. Traders are closely watching whether XRP can maintain closes above $2.35 and successfully convert the $2.38–$2.39 range into a support level.
The market is also focused on the consistency of volume post-breakout, which will be crucial in confirming fund-driven follow-through. Potential pullbacks toward $2.30 remain a risk if momentum wanes, while upcoming ETF and regulatory updates through mid-November could reinforce bullish flows. As stablecoin settlements gain traction as a preferred on-chain banking mechanism, the progress of the RLUSD pilot and its impact on XRP’s utility will be closely monitored.
In conclusion, XRP’s recent rally and the innovative stablecoin pilot suggest a positive outlook for the token, contingent on sustained momentum and favorable regulatory developments. The market’s attention will remain on XRP’s ability to maintain its upward trajectory and capitalize on the evolving landscape of on-chain finance.
Source: Original article
