XRP has seen a significant drop in price following changes in U.S. crypto policy. This has raised concerns among investors and analysts about its future trajectory.
Impact of U.S. Crypto Policy Changes on XRP
The sharp 8% decline in XRP's price occurred after U.S. President Donald Trump changed his stance on cryptocurrencies. He backed out of a strategy to create a national Bitcoin reserve, thus dashed hopes that XRP could serve as a key reserve asset.
XRP Growth Projections and Price Expectations
Despite fluctuations in XRP’s price, crypto analyst Ali Martinez believes a big move could be imminent. According to Martinez, the 1-day XRP chart exhibits a head-and-shoulders pattern, which typically suggests a price drop. However, if XRP maintains above the key support level of around $2 and surpasses the right shoulder, it may initiate a strong rise, potentially reaching $5.
Potential ETF and Future Prospects of XRP
Gaining regulatory approval for an XRP spot ETF could attract large investors and push the price to $5. However, the progress of such an ETF might rest on the next move by the SEC. If the SEC plans to appeal, it could complicate approval of XRP spot ETF applications, impeding market growth.
XRP is at a tipping point. Current market conditions and regulatory changes could significantly impact its price. Developments with ETF approval and regulatory interactions will play a crucial role in the price movement in the near future.
