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The token rebounds from $2.36 support, flashing early bullish signals on MACD while RSI trends neutral at 48.
CME Group XRP futures hit $27 billion in five months, reflecting growing confidence among professional investors.
Analysts see $4 as achievable if XRP sustains above $2.60 and Bitcoin holds its macro momentum.
XRP has gained some traction following weeks of consolidation as institutional demand and whale accumulation hint at a possible breakout occurring by the year-end, with traders targeting the $4 level this year while also benefiting from increased activity in the futures market, a substantial payments network, and positive signals on-chain.
XRP Price Structure: Bulls Breakdown Strength Near Support
After a sharp decline earlier this quarter, XRP has settled into a reversal while trading above key technical support zones. As of today, XRP is trading near $2.50, a small bounce after roughly holding its long-term support zone trade near $2.36.
Technicals seem to lean neutral bullish, with XRP making a symmetrical triangle formation below a somewhat more defined descending resistance level the price is consolidating under, and investors are monitoring $2.36-$2.40 level as a key demand zone.
A strong breakout above $2.50 could open the door for a short-term rally to $2.70-$2.75 range. Alternatively, if the price doesn't hold the support level at $2.34, a pullback could pull the price down to $2.18.
The MACD is sending a weak buy signal; however, bullish price momentum could strengthen if prices stabilize or continue to rise above $2.50.
RSI still remains under 50 (at 48), which indicates that the selling pressure may be easing somewhat; however, stronger volume power is needed in order to suggest such a breakout is more likely.
On-chain data indicates that large XRP holders have resumed accumulation over the past few weeks. Historically, such behavior has preceded price uptrends, as long-term investors position ahead of potential catalysts.
At the same time, institutional appetite for regulated XRP products has surged, with the CME Group reporting a combined $27 billion in XRP and micro-XRP futures trading volume within five months of their launch.
The CME’s XRP derivatives, comprising standard contracts worth 50,000 XRP and micro contracts of 2,500 XRP each, are cash-settled and benchmarked against the CME CF XRP-Dollar Reference Rate.
Analysts believe the addition of XRP to CME’s lineup, alongside Bitcoin, Ethereum, and Solana, underscores its increasing legitimacy in institutional trading.
While CME futures volumes have soared, OI in XRP futures remains below its October peak, highlighting caution. According to CoinGlass data, XRP’s open interest stood at around $4.67 billion, down from nearly $9 billion earlier in the month.
The OI-weighted funding rate climbed to 0.0043% from yesterday’s 0.0030%.
This rise suggests that more traders are taking long positions, signaling optimism. Sustained growth in open interest, coupled with rising funding rates, would reinforce bullish conviction and strengthen the foundation for a larger rally.
XRP's price movements are affected by broader macroeconomic trends as well. The US Bureau of Labor Statistics has published the September CPI report, with 3% YoY inflation rise, slightly below market expectations.
The Core CPI, excluding food and energy, came down as well, at 3%. This less aggressive inflation data has led to an increase in risk appetite for capital inflows into crypto.
The combination of liquidity improvements and improved crypto sentiment is giving XRP an edge. As traders funnel capital into high liquidity altcoins, XRP benefits from institutional faith and an established use case for cross-border transactions.
Also Read: Ripple’s XRP ETF Misses Deadline Again: Is Rejection Coming?
Technically, XRP needs to finish strong above $2.60 to confirm bullish continuation for the near term.
The next major resistance levels would be the 50-day EMA at $2.69 and the 100-day EMA at $2.74. If these levels are cleared, there could be a move to $3.00-3.50.
On the other hand, if the momentum persists in November and volume expansion follows, analysts project that XRP could test $4 before year-end, especially if Bitcoin stays strong above $110,000.
Technical and fundamental indicators suggest a possible recovery. Whale accumulation, CME futures volume, and macro variables stabilizing are likely to set the stage for a possible rally; however, the broader market’s sensitivity to macro news continues to be a risk factor.
XRP’s path to $4 depends on sustaining price action above $2.60, supported by an increase in open interest and institutional inflows.
1. Why is XRP gaining bullish momentum now?
Renewed whale accumulation, growing CME futures activity, and softer US inflation have fueled optimism for a breakout rally.
2. What key level must XRP break to confirm a bullish move?
A decisive close above $2.60 could trigger an extended rally toward the $3-$3.50 zone before year-end.
3. How significant is CME’s XRP futures volume?
CME Group recorded $27 billion in XRP futures volume within five months, signaling rising institutional demand for regulated XRP exposure.
4. What macro factors are supporting XRP’s recovery?
Cooling US inflation (3% YoY) and improved liquidity conditions are drawing investors back into risk assets like XRP.
5. Can XRP realistically reach $4 in 2025?
If momentum persists, supported by strong open interest and whale accumulation, analysts see $4 as a feasible year-end target amid improving market sentiment.
