XRP experienced a notable 13% surge, surpassing the $2 threshold, driven by the launch of the leveraged XXRP ETF on NYSE Arca and a 90-day suspension of U.S. reciprocal tariffs announced by President Donald Trump. However, technical analyses suggest that this rally may be short-lived, with potential for a significant price correction.
The introduction of the XXRP ETF, designed to amplify XRP’s daily returns, garnered $5 million in trading volume on its first day. While this figure is modest compared to larger ETFs, it places XXRP among the top 5% of new ETF launches, indicating strong investor interest, acording to Cointelegraph.
Despite these positive developments, XRP’s price chart reveals a descending triangle pattern—a bearish indicator that could signal a 33% decline, potentially bringing the price down to around $1.20. Analysts also point to a head-and-shoulders formation, suggesting further downside risk.
Market sentiment remains cautious, with traders closely monitoring key support levels. A drop below $1.81 could confirm a deeper move, with subsequent support at $1.71 and a potential low at $1.55, according to technical forecasts.
While the ETF launch and tariff pause have provided short-term momentum, underlying technical patterns and market dynamics indicate that XRP’s price may face challenges in maintaining its upward trajectory.
