XRP Price Recovery in Sight? Key Resistance at $2.20 and ETF Speculation Drive Market Sentiment

XRP is under intense bearish pressure, trading below key support levels. The Ripple vs SEC case and the potential for an XRP ETF remain crucial factors for future price action. Currently, XRP is trading around $2.01, testing support at $2.07 after multiple rejections from the $2.20-$2.30 resistance zone. Analysts believe a rebound could occur if key levels hold. In contrast, some are predicting a rally toward $2.50 in the coming months. XRP price prediction remains mixed as technical indicators show short-term weakness but long-term growth potential. Can regulatory clarity and institutional demand fuel an XRP breakout? Let’s analyze the factors shaping its future.

Long-Term Catalysts Could Drive Recovery

XRP price remains under pressure but several key factors could support a long-term rebound. The Ripple vs SEC case has officially settled, bringing long-awaited regulatory clarity. This victory has boosted institutional confidence potentially paving the way for broader adoption. With legal uncertainty removed it could regain lost momentum and push toward key resistance levels, fueling renewed optimism in the market.

Another potential cause is the demand for an XRP ETF. If approved, an ETF could attract significant institutional investment, similar to Bitcoin ETFs. Analysts suggest that as regulatory challenges are cleared. Ripple could see a 30-50% price increase potentially surpassing $3 in the long run.

Additionally, XRP adoption in cross-border payments continues to grow. At the same time, transaction volumes rose by over 20% in the past year. Key support levels to watch include $2.00 and $1.97, as repeated tests of this range suggest increasing vulnerability. If XRP fails to hold above these levels, further downside toward $1.80 could be likely. However, a bullish reversal above $2.20-$2.30 resistance could signal the start of a recovery. XRP price prediction remains uncertain, but these long-term catalysts could help drive a potential rebound.

Ripple Bulls Struggle to Hold Short-Term Support 

The trading day on April 1st started with an upward trend, marked by a golden cross at 1:40 UTC, which pushed the price higher. A second golden cross on the MACD line at 8:00 UTC reinforced the trend. However, by 9:00 UTC, the price became overbought, spiking to $2.2000, where it faced resistance. A death cross at 9:45 UTC initiated a downward channel that continued throughout the day. A golden cross at 14:45 UTC suggested a reversal, but a death cross at 16:00 UTC continued the bearish trend. The MACD Line shows another golden cross at 20:45 UTC, suggesting upward momentum. But a death cross at 22:45 UTC extended the downward trend to 2 April.

Chart 1, analyzed by ShwetaCW, published on TradingView, April 2, 2025

As illustrated in Chart 1, the RSI indicator showed oversold conditions at 1:05 UTC and 2:15 UTC, which fueled the downward trend. Another oversold situation at 6:00 UTC led the price to find support at $2.0708. The price attempted to break the support but failed. At 7:10 UTC, a golden cross initiated an upward trend, causing the price to fluctuate upward. According to XRP price prediction, if the trend continues, the price could break the resistance of $2.2000 and move higher. Alternatively, if the trend reverses, it could break the current support of $2.0708.

Will Regulatory Clarity and ETF Hopes Fuel a Breakout?

XRP price outlook remains uncertain, with analysts predicting a potential surge to $3 by Q2 2025. Some expect a breakout between $5.85 and $8.07 in the coming months. The possible approval of an XRP ETF is seen as a key driver for future growth, with an 85% probability of launch in 2025. The Ripple vs SEC case has also influenced market sentiment, with the SEC dropping its appeal against Ripple. In the short term, XRP price prediction suggests that if the momentum continues, it could break the $2.20 resistance. However, a reversal could push it below $2.07 support.