On April 29, 2025, XRP traded near monthly highs and was inspired by a range of technical indicators and growing institutional interests. Some analysts say XRP could climb to $3.63 in the next few days, driven by a wedge breakout and potential ETF approval. With XRP navigating key resistance levels, this outlook emphasizes the opportunities and risks faced by traders.
Institutional participation continues to rise
Derivatives Exchange CME Group announced that it will sign a cash-distributed futures contract on May 19, 2025, pending approval from regulatory authorities. The move comes after CME introduced Solana Futures in early April, reflecting a broader effort to provide complex trading tools beyond Bitcoin and Ether. XRP has so far risen 5.3% in 2025, and both Bitcoin and Ether have outperformed Bitcoin and Ether during the same period.
CME’s planned futures may attract additional institutional capital by allowing investors to hedge or speculate on the price of XRP without having to hold a token directly. Ripple CEO Brad Garlinghouse called the development a “important and exciting step in the continued growth of the XRP market”, highlighting its potential to deepen liquidity and tighten bid spreads.
Breakthrough technical setting points
XRP forms a bullish wedge pattern on the daily chart, usually set before moving up sharply. Resistance levels above $2.40 may trigger a short-term growth to $3.00, while John Squire has set an extension target of $3.63.
Source: TradingView
An analyst noted that the downtrend line of XRP, coupled with growing trading volume, signals increase buying pressure. “A decisive closing price above $2.45 will confirm a wedge breakout and open at $3.63,” he said. “If the number continues to increase, momentum traders may pile up, expanding the move.
Risk and potential return
Not all analysts have bullish views. Egrag Crypto warns that XRP must retract and hold areas above $2.33-$2.45 to avoid deeper callbacks. If XRP fails to maintain growth beyond these thresholds, it may regain support of $1.25, which is nearly 50% lower than current levels; such a situation could risk pulling bullish traders into false breakthroughs.
Source: X
Further caution stems from the historical fluctuations of the token. In March 2025, XRP briefly soared above $3.00 before quickly recovering to $2.10 in a few days. This price action emphasizes the potential for a rapid reversal, especially around major technical obstacles.
Broader crypto market sentiment may also affect the short-term trajectory of XRP. Ripple’s negotiations with the U.S. SEC on solutions could inject volatility. Recent negotiations have won a temporary stay in the appeal process to allow resolution of the problem, which, if favorably resolved, could provide a potential catalyst.
Additionally, optimism about potential locations approved by the U.S. XRP ETF may further raise sentiment as companies like BlackRock and Invesco apply for regulators and other companies. Despite the long-term adoption of ETH ETFs, Ethereum has not experienced positive price action for many years. In stark contrast, Bitcoin’s huge boost after its inaugural ETF approval tweaked the deepening link between the U.S. government and local cryptocurrencies, a relationship that expanded to XRP and Link.
Learn more: XRP Deep Dive: The Mass in Today’s Cryptocurrency Market
Therefore, due to the ongoing tariff reduction and the first introduction of the first XRP ETF, several sources suggest that XRP’s FDV is expected to surpass Ethereum’s FDV 2-3x within 3-5 months.
in conclusion
XRP’s short-term outlook is very balanced and may see a bullish breakthrough of $3.6. The upcoming CME futures release and regulatory developments may become the main catalysts.
Traders and investors should closely monitor quantity, chart patterns and on-chain data, adopt risk management strategies such as stop loss orders below $2.10 to drive increased volatility.
Read more: Signals from XRP and Ripple
