What to Know

  • XRP has gained nearly 24% in the past 7 days, outperforming other tokens in the top 5 during the latest crypto market upswing.
  • The token has posted gains in 6 of the last 7 trading sessions after bouncing from a key support area at $1.32.
  • Net inflows to XRP-linked ETFs reached $20 million yesterday, the strongest daily level since the late August rally.
  • Short liquidations have exceeded $67 million since September 13, adding fuel to the rally through a potential short squeeze.
  • On-chain activity shows larger holders accumulating, with transactions above $100,000 rising to their highest level since August.
  • Validators on the XRP Ledger are voting on two proposals that could support a lending protocol using XRP as collateral and Ripple USD as a settlement asset.
  • Selling pressure has increased above $1.50, but technical traders continue to watch $1.80 as the nearest upside target after a possible pullback toward $1.43.

XRP Rally Gains Strength as Crypto Sentiment Improves

XRP has become one of the standout performers in the current crypto market rebound, rising nearly 24% in the past 7 days and outpacing the other tokens in the top 5. The move has been notable not only for its size, but also for its consistency. XRP has booked gains in 6 of the last 7 trading sessions, a pattern that suggests buyers have remained active on dips and that momentum has broadened beyond a single burst of speculative demand.

The latest advance followed a strong rebound from the $1.32 area, a level that market participants had been watching as an important support zone. That bounce helped restore confidence in the short-term structure of the chart and allowed XRP to approach the $1.50 region, where selling pressure has become more visible. Even with that resistance in play, the broader setup remains constructive as long as buyers continue to defend higher support levels.

The wider crypto market has also benefited from increased clarity after the Federal Reserve’s widely expected rate hike. While higher rates can create challenges for risk assets, markets often respond positively when uncertainty is reduced and investors believe they have a clearer framework for assessing policy direction. In the current environment, that clarity has helped lift trading volumes across digital assets and has supported renewed appetite for tokens connected to active ecosystems and developing use cases.

ETF Inflows Return to Rally Levels

One of the strongest signals behind the latest XRP move has come from exchange-traded funds linked to the token. Net inflows reached $20 million yesterday, marking the highest daily inflow level since the late August rally. For traders, ETF flows matter because they can reflect broader market positioning and can indicate whether demand is coming from a wider pool of investors rather than only short-term spot market participants.

Renewed ETF demand does not guarantee continued upside, but it can reinforce a bullish setup when it arrives alongside rising spot prices, increasing on-chain activity and technical breakouts. In XRP’s case, the timing of the inflows has drawn attention because they followed a period of improving price action and arrived as the token was already pushing into a key resistance area. That combination suggests some market participants may be positioning for another leg higher rather than treating the recent move as a completed rally.

The late August comparison is also important because rallies in crypto often become stronger when liquidity returns to the same channels that supported earlier advances. If ETF demand remains elevated, it could help absorb profit-taking from short-term holders and support a healthier trend structure. If those inflows fade quickly, however, XRP may need stronger spot demand or renewed ecosystem catalysts to maintain upward pressure.

Short Liquidations Add Pressure on Bears

Short liquidations have also played a role in XRP’s advance. Since September 13, short liquidations have exceeded $67 million, pointing to a squeeze that has forced bearish traders to close positions as prices moved against them. In crypto markets, short squeezes can accelerate rallies because short sellers often need to buy the asset to exit their trades, adding demand at the same time that momentum traders are entering long positions.

This dynamic can be powerful, but it can also make price action more volatile. A rally driven partly by short liquidations may move quickly through resistance levels, but once forced buying slows, the market can pause or retrace. That is why the possibility of a pullback toward $1.43 remains important in the near term. A retreat to that area would not necessarily damage the bullish structure if buyers step back in and defend the move after the recent sharp advance.

For now, the squeeze remains one of the reasons chart watchers are focused on $1.80 as the next major target. If bears remain trapped and new buyers continue to enter, XRP could extend higher after a short consolidation. A failure to sustain pressure above the $1.50 region, by contrast, would likely encourage more cautious trading and could delay a push toward the next upside level.

Whale Activity and New Wallet Growth Support the Bullish Case

On-chain data is adding another layer to the bullish narrative. Transactions exceeding $100,000 have climbed to their highest level since August, indicating that larger holders have been active during the rally. Large transactions are not always straightforward to interpret, because they can represent buying, selling, transfers between wallets or institutional movement. Still, when larger transactions rise alongside price gains and stronger inflows, traders often view the pattern as evidence that deep-pocketed market participants are becoming more engaged.

The number of newly created wallets has also increased, which points to fresh activity across the network. New wallet growth can signal broader participation, particularly when it happens during a period of rising price momentum. It may reflect new users entering the ecosystem, traders setting up additional addresses, or increased activity related to applications and services connected to the ledger.

Together, whale activity and wallet growth suggest that XRP’s latest rally is not being driven by price charts alone. Network activity appears to be improving at the same time that market structure is strengthening. That does not remove the risk of a pullback, but it gives bulls a stronger foundation than a rally built purely on speculative momentum.

XRP Ledger Proposals Could Expand Utility

Beyond price action, XRP’s ecosystem remains an important part of the market conversation. Validators within the XRP Ledger are voting on two proposals that would pave the way for a lending protocol using XRP as collateral and Ripple USD, known as RLUSD, as a settlement asset. If approved and implemented, such a structure could expand the use cases available on the network and place XRP more directly inside decentralized finance activity.

A lending protocol would be significant because collateralized lending is one of the core building blocks of decentralized finance. It allows users to pledge assets, borrow against them and settle transactions through network-based infrastructure. In this case, the use of XRP as collateral and RLUSD as a settlement asset could create new demand channels for both assets, depending on adoption, liquidity and user confidence.

Ripple has been working to broaden its ecosystem and build out treasury-focused solutions for global enterprises. The growth of RLUSD is part of that broader effort, with its market cap recently surpassing $2.4 billion. Ongoing investment in prime brokerage activity also supports the view that Ripple is trying to deepen its role in crypto market infrastructure rather than relying solely on payments-related narratives.

Market participants are watching these developments closely because stronger utility can provide a more durable backdrop for price appreciation. Technical rallies can fade if they are unsupported by ecosystem progress, but assets tied to expanding use cases often attract more sustained attention. XRP’s challenge will be converting proposed upgrades and growing stablecoin demand into actual activity that reinforces long-term network value.

Technical Picture Keeps $1.80 in Play

The daily chart shows that XRP’s move above $1.50 has attracted heavier selling pressure. That level has been widely watched as a key resistance zone and as confirmation of a bull flag breakout. When an asset breaks above a major resistance area, it is common for traders to take profits, especially after a sharp run. This can create temporary weakness even when the broader trend remains constructive.

Some chart watchers expect XRP could retreat toward $1.43 after the recent rally. Such a move would be viewed as a healthy pullback if it allows the market to reset without breaking the broader bullish structure. In strong trends, pullbacks often help remove overheated positioning, test demand and establish a higher base for the next advance.

The nearest upside target remains $1.80. If bullish momentum accelerates beyond that point, traders are likely to turn their attention toward $2.10. Those targets depend on continued demand, sustained ETF inflows, resilient on-chain activity and the ability of buyers to keep control after any short-term pullback. The Relative Strength Index has crossed above the signal line, a development that indicates buyers still have control of price action. As long as the oscillator stays above 50, the rally remains technically supported after any healthy consolidation.

Risks to the XRP Outlook

Despite the bullish setup, traders should not ignore risk. The sharp pace of the rally means some holders may choose to lock in gains, particularly near the $1.50 area where selling pressure has already increased. If ETF inflows weaken or short liquidations slow, XRP could lose some of the forces that have helped accelerate the recent move.

There is also execution risk around ecosystem development. Validator votes, lending proposals and stablecoin growth can support long-term interest, but the market will likely need to see practical adoption over time. A proposal alone does not guarantee network activity, and DeFi products depend on liquidity, security and user trust.

For now, however, XRP remains one of the stronger large-cap crypto names in the market. The combination of price momentum, ETF inflows, whale activity, short liquidations and ecosystem progress keeps the $1.80 target in focus. A controlled pullback toward $1.43 could even strengthen the setup if buyers defend support and volume remains healthy.

Frequently Asked Questions (FAQs)

Why is XRP rising?

XRP is rising as the token benefits from improved crypto market sentiment, renewed ETF inflows, whale activity, short liquidations and optimism around potential ecosystem growth on the XRP Ledger.

How much has XRP gained recently?

XRP has gained nearly 24% in the past 7 days and has posted gains in 6 of the last 7 trading sessions after bouncing from the $1.32 support area.

What is the key XRP price target traders are watching?

The nearest upside target being watched by technical traders is $1.80. If bullish momentum accelerates, attention could later shift toward $2.10.

Could XRP pull back before moving higher?

Yes. Some chart watchers expect a possible pullback toward $1.43 after the recent strong rally. A controlled retreat could be viewed as a healthy reset if buyers remain active.

Why do XRP ETF inflows matter?

ETF inflows matter because they can signal broader investor demand. XRP-linked ETFs recorded $20 million in net inflows yesterday, the strongest daily level since the late August rally.

What role are short liquidations playing?

Short liquidations have exceeded $67 million since September 13. This can add buying pressure as traders who bet against XRP are forced to close positions during a rally.

What are whales doing with XRP?

On-chain data shows transactions above $100,000 have risen to their highest level since August, suggesting larger holders have become more active during the rally.

How could the XRP Ledger lending proposal affect XRP?

Validators are voting on two proposals that could enable a lending protocol using XRP as collateral and RLUSD as a settlement asset. If adopted, it could expand XRP’s role in decentralized finance activity.

What technical indicator supports the bullish view?

The Relative Strength Index has crossed above the signal line, indicating that buyers remain in control. As long as it stays above 50, the rally remains technically supported after a healthy pullback.