XRP Price Prediction: Ripple Rally Extends as Fed Rate Cuts and Banking Partnerships Fuel 55% Upside

XRP has returned to the spotlight with a powerful rally, climbing above the $3.00 threshold for the first time in weeks. The move comes as traders grow nearly certain that the U.S. Federal Reserve will cut interest rates at its upcoming policy meeting, while Ripple strengthens its European banking presence through a new custody partnership with BBVA in Spain. With technical indicators flashing bullish signals, XRP price predictions are turning increasingly optimistic, pointing to the possibility of a 55% surge in the months ahead.

What to Know

• XRP price surged 4.15% to $3.02 on September 9, marking its third straight day of gains.
• Fed rate cut expectations now stand at 99%, boosting risk assets like cryptocurrencies.
• Ripple expanded its digital asset custody services to BBVA in Spain, extending its European partnerships.
• Technical analysis suggests a bullish flag breakout could propel XRP to $4.70, representing a 55% upside.
• Whale accumulation and possible XRP ETF approvals in October add further momentum to the rally.
• XRP Price Today: Back Above $3

XRP gained 4.15% on Tuesday to trade at $3.02, its highest level in several sessions. The token’s rebound has been sharp, with a 7.5% recovery from Sunday’s lows and three consecutive sessions of positive momentum. Its market capitalization now stands at approximately $178 billion, supported by 24-hour trading volumes exceeding $6.7 billion. XRP remains the fourth-largest cryptocurrency by market cap, with nearly 60 billion tokens in circulation.

Federal Reserve Rate Cut Expectations Drive Momentum

The main catalyst fueling XRP’s recovery lies in global monetary policy. With weak U.S. employment data for August, markets now assign a 99% probability that the Fed will cut rates by at least 25 basis points at its September meeting. Some analysts even expect a more aggressive 50-basis-point cut.

Lower borrowing costs typically weigh on the U.S. dollar while increasing demand for alternative assets like cryptocurrencies. As a result, XRP has significantly outperformed major competitors including Bitcoin, Ethereum, and Dogecoin in recent sessions.

Ripple Expands BBVA Custody Services in Spain

Adding to the bullish environment, Ripple confirmed an extension of its custody services partnership with BBVA, one of Spain’s largest banks. Under the deal, BBVA will offer clients digital asset custody solutions for Bitcoin, Ethereum, and XRP, aligning with the European Union’s MiCA regulatory framework.

Cassie Craddock, Ripple’s managing director for Europe, said the move reflects strong demand from regional banks: “Now that MiCA is established, the region’s banks are emboldened to launch the digital asset offerings that their customers are asking for.”

This expansion not only underscores Ripple’s growing role in Europe’s financial sector but also positions XRP as a leading candidate for wider banking adoption.

Technical Analysis: XRP Breaks Out of Resistance

From a technical perspective, XRP has cleared the $2.96–$3.00 resistance band, which coincided with the 50-day exponential moving average and the 38.2% Fibonacci retracement from June to July highs. Trading volume spiked to nearly three times its daily average, signaling institutional participation.

Indicators show room for more upside. The RSI is steady in neutral-bullish territory, while the MACD is converging toward a bullish crossover. This pattern suggests accumulation and could pave the way for further gains toward $3.30 and $3.60 levels.

Price Prediction: Flag Breakout Points to $4.70

Perhaps most importantly, XRP has completed a breakout from a multi-month flag formation, setting up the possibility of a measured move toward $4.70. That would represent a 55% upside from current levels. Market analysts have taken notice, with Paul Howard of Wincent noting that XRP is now within 18% of its all-time high, supported by acquisitions, partnerships, and regulatory clarity.

While conservative forecasts highlight resistance around $3.30–$3.60, bullish projections suggest XRP could target $4.70 or higher if the current breakout holds.

Whale Activity and ETF Speculation Support Rally

Despite exchange reserves reaching yearly highs, large holders have continued accumulating XRP. Reports show whales purchased over 10 million XRP within minutes during Tuesday’s rally, while broader accumulation added more than 340 million tokens in recent weeks.

This aggressive buying has fueled speculation that institutions are positioning ahead of possible U.S. approvals of XRP ETFs, with six applications awaiting SEC review in October.

Broader Crypto Market Lifts XRP

The wider crypto market has also been supportive. Bitcoin ETFs saw net inflows of $246 million in early September, with BlackRock and Fidelity leading institutional demand. Bitcoin’s illiquid supply has climbed to record levels, highlighting investor confidence and setting the stage for renewed upside across the sector.

In this environment, XRP benefits from both technical breakouts and favorable macro conditions, creating a strong backdrop for continued momentum.

Outlook and Key Levels

Looking forward, traders will watch the $2.99–$3.00 area as potential support after the breakout. Immediate resistance lies near $3.30, followed by the $3.60 region. If XRP can hold above $3.00, technical models point to the possibility of a rally toward $4.70.

However, risks remain if the broader market falters or if the Fed delivers a smaller-than-expected rate cut. In that case, downside levels around $2.88 could once again be tested.

FAQ

Why is XRP surging today?

XRP is rising on expectations of a Federal Reserve rate cut combined with Ripple’s expanded banking partnership with BBVA in Spain.

How high can XRP go in 2025?

Technical analysis suggests $4.70 as a near-term target, while long-term forecasts range from $5.50 to as high as $15.00 depending on ETF approvals and institutional adoption.

What is driving XRP price predictions?

Key drivers include Fed rate cuts, bank partnerships, whale accumulation, and potential ETF approvals later this year.

What makes XRP different from other cryptocurrencies?

XRP is designed for fast, low-cost cross-border payments. With settlement times under 5 seconds and growing institutional adoption, it stands apart from speculative altcoins.