Will Ripple's share price rise after the launch of an XRP ETF?

Ripple's price could rise by 60% this year. This is supported by several factors, including lots of activity from large investors (whales), the launch of the new stablecoin RLUSD and increasing confidence in the launch of an XRP ETF.

Ripple's cryptocurrency, called XRP, has thrived even as the crypto market took a big dip. Since the beginning of the year, XRP has risen about 400%, thanks in part to hopes of an XRP ETF. Currently, XRP is in a pattern that could lead to a further rise to €3.30.

Although there was a small decline recently, XRP is still up 44% year-to-date. Since Donald Trump's election victory on Nov. 5, XRP has continued to grow. Some analysts predict that XRP will triple and even further, once the lawsuit between Ripple and the U.S. Securities and Exchange Commission (SEC) is settled.

Strong performance of XRP on the chart

Last week, Bitcoin reached an ATH, but then the crypto market fell sharply. This also led to a decline in other cryptocurrencies, including XRP. Despite this decline, XRP quickly recovered from a low of €1.90 and is holding key support at €2.10. Technical analysts see a pattern that could lead to a further rise to €3.30, representing a 60% increase. However, before this can happen, XRP must first rise above €2.30.

Crypto analyst Ali Martinez says if XRP stays above €2.10, the price could stabilize before attempting another rise to €2.55. However, if the support at €2.10 breaks, the price could fall to €1.85.

During the recent market downturn, large investors (whales) saw an opportunity to buy more XRP. After a big correction on Dec. 17, these whales bought 80 million XRP, which helped the price quickly recover to €1.90.

In addition, a large transaction of XRP worth €205 million happened. This has led to speculation that the price of XRP will soon rise sharply. David Schwartz, the CTO of Ripple Labs, recently spoke about the new RLUSD stablecoin, which was launched last week. He explained that RLUSD is useful for both users and developers. The stablecoin offers benefits to the entire XRP ecosystem, especially as it allows for more trading activity by using XRP as a bridge.

Increasing demand for an XRP ETF

With the upcoming inauguration of Donald Trump in January, the market is hopeful that Ripple will soon win its lawsuit with the SEC. Last week, there were rumors about the filing of an XRP ETF by BlackRock, a major asset manager. Although BlackRock's chief operating officer, Jay Jacobs, was quick to deny these rumors, enthusiasts continue to believe that an XRP ETF will arrive by the end of 2025.

An XRP ETF could attract large institutional investments, which would further increase the price of Ripple. Some well-known asset managers such as 21Shares and WisdomTree have already filed documents with the SEC to launch their own XRP ETFs. The Bitwise 10 Crypto Index ETF also includes XRP, with Ripple's cryptocurrency making up 1.56% of the index.