XRP has firmly positioned itself as one of the top winners in the current market cycle, emerging from a prolonged consolidation below $1. Several key fundamentals suggest that this momentum could continue into the new year.
While XRP is influenced by general market sentiment, the regulatory landscape will be crucial. Specifically, the upcoming leadership changes at the Securities and Exchange Commission (SEC) and the ongoing case between the regulator and Ripple will be pivotal in determining whether XRP can make another attempt at reaching record highs.
Currently, XRP is holding above the $2 support level, though market volatility has weighed it down.
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As of press time, the token was trading at $2.24, down over 5% in the last 24 hours. On the weekly chart, XRP is also in the red, down 6%.
Despite these recent setbacks, XRP’s post-election breakout has propelled the asset to a remarkable 260% increase year-to-date.
XRP price prediction for 2025
As for the token’s price prediction for 2025, OpenAI’s artificial intelligence (AI) tool, ChatGPT-4o, shared insights regarding what to expect.
ChatGPT’s analysis suggested that Ripple’s growth and potential victories in ongoing SEC cases could drive XRP to between $5 and $7, particularly if adoption in cross-border payments accelerates, this being the base case scenario.
In a more optimistic case, the AI platform noted that a broad cryptocurrency market bull run and Ripple’s expanded integration with banks might push XRP past $10. There is even a possibility, albeit less likely, that mass adoption and favorable regulations could propel the token to over $20 by 2025.
Conversely, lingering regulatory challenges or a downturn in the broader crypto market could see XRP drop to between $1 and $2. While $5 seems to be the most reasonable estimate, according to ChatGPT, such a price target would push XRP’s market cap to nearly $300 billion.
XRP’s technical outlook
Regarding the technical aspect, cryptocurrency trading expert Armando Pantoja’s analysis in an X post on December 30 suggested that the token will likely hit a target of $3.
The analyst noted that while some XRP holders express frustration over the current consolidation, the charts paint a different picture of strength and potential.
He pointed out that XRP is forming a symmetrical triangle, a bullish continuation pattern often preceding upward price movement.
XRP has stabilized just above the $2 mark, coiling tightly within the triangle. Pantoja indicated a possible breakout could send XRP between $3.20 and $4.
On the other hand, XRP is exhibiting a moderate level of volatility at 7.25%, indicating that potential price swings are to be expected. It is trading well above its 50-day Simple Moving Average (SMA) of $1.81 and its 200-day SMA of $0.85, pointing to bullish momentum over the medium and long term.
However, the 14-day Relative Strength Index (RSI) is at 46.95, placing it in a neutral zone—not overbought or oversold—which could suggest a period of consolidation before the next move.
In summary, it will be important to watch for a break above the $2.10 level or retest the $1.81 support to determine the next direction in price movement.
Featured image via Shutterstock
