XRP Price Analysis

After a prolonged consolidation, XRP’s price action appears to be turning bullish, with technical patterns indicating potential upside.

A report from Singapore-based blockchain firm Matrixport shows that the Relative Strength Index (RSI) is hovering near 40%, signaling room for a possible surge. Historically, XRP has often rallied when RSI is around this level, generally facing resistance closer to 70%.

Matrixport also notes that further gains could depend on regulatory developments. If the SEC reevaluates its case against Ripple Labs under the new administration, XRP could experience even greater potential for growth.

> “The recent rebound could have further upside, particularly if the SEC revisits its legal case against Ripple Labs under the new U.S. administration. With the RSI currently near 40%, the technical setup appears favorable for a potential rally.”
> — Matrixport

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Market data from Coinalyze indicates that XRP’s open interest in perpetual and futures contracts dropped over 3.5% in the past 24 hours to $1.8 billion.

This suggests some traders are scaling back leveraged positions, either locking in profits or managing risk, which might indicate a cooling off of speculative trading after the recent price jump. Conversely, if open interest starts climbing again alongside price gains, it could signal that bullish momentum is building.

As of now, Bybit holds the largest share of XRP open interest at $783 million, followed by Binance at $724 million.

Meanwhile, the SEC has officially acknowledged Grayscale’s filing for a spot XRP ETF, initiating the review process that could allow the fund to come to market later this year. Following this, the agency is expected to review applications from other firms, including Bitwise, 21Shares, Canary Capital, and WisdomTree, which have all filed proposals awaiting the SEC’s next steps.

At the time of writing, XRP is down 2.76% at $2.59.

Read more: XRP price rises as Polymarket ETF approval odds hit 80%.