- XRP saw record inflows of $145.8 million last week amid growing institutional interest, optimism around a potential U.S. XRP ETF, and progress in the Ripple vs. SEC lawsuit.
- Analysts predict XRP could surpass $3 soon, supported by bullish market sentiment, whale activity.
The cryptocurrency sphere has proven to be the most growing asset class. Evidently, the cryptocurrency market continues to captivate investors with impressive inflows. In the same picture, XRP has stood out as one of the top-performing digital assets.
According to a recent CoinShares report, the token saw a record $145.8 million in inflows last week, surpassing the previous week’s $134.3 million. These inflows come amid a broader $3.2 billion inflow into digital asset investment products, marking the 10th consecutive week of growth.
Institutional investors are increasingly bullish on XRP, with the likelihood of a U.S.-based XRP ETF growing significantly. Applications for an XRP ETF from major players like Bitwise, 21Shares, Canary Capital, and WisdomTree are pending with the SEC. Optimism has been bolstered by recent political and regulatory developments, including SEC Chair Gary Gensler’s resignation and expectations of a more crypto-friendly administration under Donald Trump.
The ongoing Ripple vs. SEC lawsuit is also nearing a critical juncture, with the SEC set to file its principal brief by January 15. Ripple’s Chief Legal Officer Stuart Alderoty recently criticized the SEC’s legal arguments as repetitive and ineffective, which has fueled community speculation about a favorable outcome for Ripple.
XRP’s Price Action and Whale Activity
XRP’s price currently trades at $2.36, reflecting a 2% dip in the past 24 hours, but its trading volume has surged by 13%, highlighting heightened trader interest. Analysts remain optimistic about the token’s trajectory. Prominent crypto strategist CrediBULL Crypto remarked, “Structure on XRP here looks so freaking clean and bullish, it’s actually insane,” projecting the token to surpass $3 soon and potentially reach $5 by 2025.
Another analyst, Crypto Tony, provided an Elliot Wave analysis indicating that XRP has rebounded strongly from the $2.91 level and is poised for another bull run toward $3. Whale activity further supports these bullish sentiments, with Whale Alert reporting an 800-million XRP transfer worth $1.92 billion from Binance to an unknown wallet. Such significant transactions underscore the confidence whales have in XRP’s long-term potential.
The digital asset’s rise aligns with broader trends in the cryptocurrency market. Bitcoin and Ethereum continue to dominate inflows, with $2 billion and $1 billion recorded last week, respectively. Bitcoin’s price reached an all-time high of nearly $106,500, while Ethereum briefly crossed $4,000. Other regions like Switzerland, Germany, and Canada are also seeing increasing interest in blockchain equities and digital assets.
Can XRP Reach $3?
The convergence of strong institutional inflows, favorable legal developments, and growing retail interest makes the $3 price target for XRP more than plausible in the near term. As Ripple prepares to launch its RLUSD stablecoin and analysts remain firmly bullish, XRP is positioned as a key player in the next wave of cryptocurrency growth.
