As the week unfolds, breaking past the $2.50 barrier remains crucial to avoid a retest of the $1.95 support level.

XRP Faces Key Resistance at $2.50

Currently, XRP is trading at around $2.40, attempting to hold above the 50-day Exponential Moving Average (EMA). A failure to decisively clear the $2.50 resistance could trigger a wave of bearish sentiment, potentially dragging the price down toward the $1.95 support level.

XRP is struggling to break multiple resistances, including $2.50 and the 50 EMA. Source: TradingView

Technical indicators highlight a phase of consolidation, with immediate support at $2.37 (20-day EMA) and additional resistance at $2.70. Analysts suggest that unless XRP reclaims and maintains a position above $2.50, the risk of further downside remains.

“The longer lower shadow on the daily chart suggests bulls are trying to prevent a close below $2.40,” a market analyst observed. “But without fresh buying pressure, a breakdown remains possible.”

Regulatory Clarity and RLUSD’s Role in XRP’s Future

A major factor influencing XRP’s price is the broader regulatory landscape. Former U.S. President Donald Trump recently proposed a stablecoin framework, which many believe could benefit Ripple’s RLUSD—a fiat-backed digital asset that could expand XRP’s use cases and strengthen the Ripple ledger.

XRP, recognized as a stablecoin by major global entities, combines gold’s value with stablecoin liquidity, making it a rare and effective asset. Source: CryptoSensei via X

“If Trump’s bill provides clear operational guidelines, it could drive capital inflows into XRP, strengthening its position in cross-border payments,” one industry expert stated. Ripple cryptocurrency already has strategic partnerships in global payments, and enhanced regulatory clarity could further accelerate institutional adoption.

Market Reaction to Ripple’s Legal Victory

XRP’s latest price movement is in the wake of increased optimism following the conclusion of its long-drawn lawsuit against the U.S. Securities and Exchange Commission (SEC). The SEC officially dropped all charges against Ripple, ending the years of uncertainty that had bogged down XRP’s price. The conclusion of the XRP lawsuit has been a top story for the Ripple market.

XRP was trading at around $2.40 at press time. Source: XRP Liquid Index (XRPLX) via Brave New Coin

Despite this positive development, XRP failed to sustain a significant rally. The price decreased after reaching a high of $2.60 as a result of profit-taking. Analysts say that this is because the markets had already discounted the Ripple lawsuit settlement much earlier.

“The lawsuit was a dark cloud over XRP for years,” a trader noted. “Now that it’s over, the next big price movement will depend on real-world adoption, not just legal wins.”

What’s Next for XRP?

Although there is some bullish prediction, including a possible $38 run-up, in the near term, action hinges on whether XRP can maintain major levels of support. Ripple XRP news remains a market mover, and experts are closely watching Ripple currency price action.

XRP’s parabolic bull run is set to continue after rebounding from a 7-year Double Bottom/Ascending Triangle, eyeing a target of at least $38. Source: Gert Van Lagen via X

Technical analysis suggests that XRP may be eyeing $2.70 next if it manages to close above $2.50, with more upside on the cards if buying momentum is boosted. On the other hand, the inability to regain this level may send XRP falling back to $2.30, the worst-case scenario being a retest of $1.95.

For XRP to see long-term gains, analysts point to the necessity of more institutional investment, cross-border payment acceptance, and greater demand for RLUSD. As market conditions continue to change, XRP is also at a crossroads, and price movement this week will likely determine its path for the next significant move. Furthermore, partnerships such as Ripple Bank of America can also instill confidence in Ripple crypto and long-term price gain.