Key Insights
- •XRP price dipped to $2.06 despite positive ETF fund flow.
- •An analyst suggested that Ripple coin price may touch $2.75 if it clears a key resistance level.
- •The XRP ETF has continued to attract institutional interest, indicating potential for a breakout.
XRP Price Movement Amid Market Fluctuations
XRP price continued to lose value today, even as the broader market experienced a dip, with most major cryptocurrencies trading in the red. This has raised concerns among traders regarding the coin's future trajectory, with one analyst hinting at a potential drop below $2 again.
Conversely, the same expert recently shared a bullish forecast for XRP, suggesting a potential surge to $2.75. However, for the cryptocurrency to reach this target, it must first overcome a significant resistance level.
Meanwhile, the inflow into the XRP ETF and other market factors continue to support bullish expectations for the asset. Additionally, another expert has projected that the Ripple coin could reach $6, further bolstering market confidence. Amid these diverging signals, market participants are increasingly concerned about the underlying reasons for the recent dip in XRP's price.
This analysis will provide a closer look at the recent performance of the XRP price and the predictions from experts regarding its future movement.
XRP Price Slips Despite Broader Market Recovery
XRP price once again slipped into negative territory today, trading near $2.06 at the time of writing. The trading volume for the asset decreased by approximately 2.4% to $2.4 billion, indicating a decline in investor activity within the Ripple market.
It is important to note that this decline occurred within a fluctuating market. Cryptocurrencies experienced a drawdown today after a recent period of recovery. While the Ethereum price, for instance, led an altcoin rally with a surge of over 4% just yesterday following the successful launch of the big Fusaka upgrade, it has also seen a decline of 1.6% in the last 24 hours.
In contrast, the XRP ETF momentum remains strong, reflecting significant interest from institutional investors. On December 3rd, the US Spot XRP ETF recorded an inflow of $50.3 million, underscoring sustained institutional interest. The total inflow into this investment instrument since its launch has reached $874.3 million.
The recent price decline, despite the consistent institutional fund flow, suggests that large investors, or whales, might be engaging in selling activities, which in turn is delaying the anticipated rally for the asset.
Future Outlook for Ripple Coin
Despite the volatile conditions in the broader cryptocurrency market, analysts maintain a bullish outlook on the future trajectory of XRP. In a recent post on X, analyst Ali Martinez shared a technical chart suggesting a likely rally for XRP price to $2.75.
Martinez noted that for Ripple coin to reach this target, it must break through the $2.28 resistance level.
Separately, expert Dark Defender has offered an even more bullish perspective on the future momentum of the asset. In a recent X post, the analyst highlighted XRP's run from $0.39 to $1.88, stating that the $1.8 level now serves as key support. The expert further indicated that the next significant level to watch for XRP price is $5.85, which has generated considerable market confidence.
Considering these factors, the XRP price appears to be positioning itself for a significant upward movement. However, the continued inflows into the XRP ETF and the trading activities of Ripple whales will be crucial in confirming the future path for the asset.