Trader Arthur expressed his cautious outlook for XRP, highlighting three main factors that could negatively impact the cryptocurrency's price.
Geopolitical Tensions
Arthur's primary concern is the increasing instability in global geopolitics. He suggests that during times of heightened risk, investors tend to flee from riskier assets like cryptocurrencies to safe-haven investments such as gold and the U.S. dollar. He believes that if XRP fails to hold above the $2.30 resistance level, it could trigger a sell-off.
Legal Uncertainties
Arthur's second point of concern is the unresolved Ripple vs. SEC case. While some media coverage has faded, the legal battle remains ongoing. Both parties are waiting for Judge Analisa Torres' ruling on their revised filing. Until the final decision is made, particularly regarding the injunction against Ripple’s institutional XRP sales, uncertainty may continue to weigh on investor confidence.
Lack of ETF Momentum
Arthur also notes the absence of major bullish catalysts: a U.S.-approved spot XRP Exchange-Traded Fund (ETF). While Canada has launched an XRP ETF, the United States, the largest crypto investment market, still lacks regulatory clarity. Without U.S. approval, the institutional demand capable of driving XRP to new highs is unlikely to materialize in the near term.
Arthur's forecasts highlight the need for caution among investors in the current uncertainty arising from geopolitical tensions, legal complexities, and potential catalysts like ETFs.
