Once buoyed by regulatory clarity and growing institutional adoption, the XRP price is now under pressure from both technical breakdowns and broader economic uncertainty.

Trade War Tremors Rattle the Ripple Market

The latest wave of U.S. tariffs, introduced by President Donald Trump on April 2 and branded as “Liberation Day” measures, has sparked fears of a renewed global trade war. The financial fallout has been swift and brutal. U.S. equity markets have lost nearly $6 trillion in value, while cryptocurrencies like Bitcoin, Ethereum, and XRP have seen sharp declines amid the risk-off sentiment.

Thomas Sowell criticized tariffs and Trump’s trade wars as economically irrational and harmful to consumers. Source: Non-Hyphenated American via X

XRP has been hit particularly hard, dropping to $1.6775 on April 7—its lowest level since November 2024. The cryptocurrency has now shed over 25% of its value in a month, and its market cap has fallen to $102.5 billion. According to data from Coinglass, nearly $47 million in XRP positions were liquidated in the past 24 hours alone as volatility spiked across the board.

Despite being known for its utility in global payments, Ripple’s XRP remains sensitive to macroeconomic events. “Cryptocurrencies are often viewed as risk assets, and they tend to fall during periods of financial uncertainty,” said Sean McNulty from FalconX. “With these tariffs fueling inflation and slowing global trade, we’re seeing a widespread flight to safety.”

XRP Technical Outlook: A Crucial Support Level in Focus

From a technical perspective, XRP appears to be teetering on the edge of a potential meltdown. The price has now approached the neckline of a head and shoulders pattern—an ominous formation that typically signals a major downturn if the support is breached. If confirmed, the projected decline could extend toward $1.11, marking a 42% drop from the neckline.

If XRP closes above $2 on the weekly chart, a bull run toward $4 is expected; otherwise, a drop to the $1.11-$0.95 range could follow. Source: PouyanTradeFX via TradingView

In addition, XRP has shown signs of being in the Wyckoff Distribution Phase. This phase is normally followed by a sudden markdown, with sideways action being replaced by steep declines as supply drowns demand.

Another warning signal is the pending death cross—a bearish pattern that occurs when the 50-day weighted moving average crosses below the 200-day average. The two are converging, which means XRP will soon finish this pattern, one that in the past has been followed by sharp drops.

But all is not lost. “So long as XRP stays above the critical support of $1.80 and doesn’t break the neckline convincingly, there is still a chance for a bounce,” said a TradingView analyst. A breakout above $3—the level of the right shoulder—can invalidate the bearish pattern and set the stage for a retest of the year-to-date high of $3.40.

Resilience Amid Chaos: A Glimmer of Hope?

Despite recent losses, XRP has shown pockets of strength. The trading volume recently surged by $100 million, suggesting continued interest among investors. Even as the broader crypto market pulls back from geopolitical tensions, XRP remains one of the more actively traded virtual currencies.

Ripple’s payment network is making waves again with $100 million in RLUSD minted amid soaring transaction volume. Source: Botmaxxer via X

Institutional partnerships like SBI Holdings and Bank of America continue to act as a bastion for XRP’s long-term case, according to Ripple XRP news. RippleNet, the crypto-based payments system, continues to run and keep onboarding banking partners globally.

Besides, analysts are optimistically cautious about XRP’s longer-term outlook. The forecasts for 2025 range between $2.05 and as high as $6.87, with Changelly putting the average at $3.32. Bitwise, which filed for an XRP ETF earlier this year, sees a more conservative target of $3.50–$4.00, driven by institutional adoption. Some outlier projections, such as those from former Citi employee Shannon Thorp, even peg XRP’s future value in the $100–$500 range—though such estimates are speculative and lack a concrete timeline.

Regulatory Clarity No Longer Enough?

One of the most significant milestones in Ripple’s journey was its partial legal victory against the SEC in 2024, which confirmed that XRP is not a security. This verdict, seen as a turning point in the long-running Ripple lawsuit, sparked a dramatic price surge and renewed investor confidence. However, the momentum has since faded.

“The SEC Ripple case offered a short-term boost, but legal clarity alone can’t shield XRP from macroeconomic forces,” said a crypto market strategist. With newer payment-focused tokens entering the space, Ripple crypto must now compete on both regulatory and technological fronts.

What Lies Ahead for XRP?

As Ripple navigates its place in the evolving global financial landscape, XRP’s immediate path hinges on several key factors: the trajectory of the U.S.-China trade conflict, investor appetite for risk, and whether critical support levels can hold.

Ripple (XRP) was trading at around $1.80, down 13.53% in the last 24 hours at press time. Source: XRP Liquid Index (XRPLX) via Brave New Coin

If XRP fails to stay above $1.70, analysts warn of a potential slide to $1.50—or even $1.00 in a worst-case scenario. But if the market stabilizes and XRP can push past the $2.30 resistance zone, bullish targets around $3.00 to $3.40 remain plausible.

For now, XRP investors must brace for heightened volatility. As Ripple’s Brad Garlinghouse has often emphasized, “Crypto is not just about price—it’s about utility, adoption, and building real-world solutions.” Whether XRP can withstand the storm and rise again may depend not only on charts and patterns but on its ability to continue proving its value in a rapidly shifting financial world.