Because the altcoin market experiences a resurgence, XRP has struggled to realize momentum, consolidating between $2.70 and $3 for the previous two weeks.
Regardless of the thrill surrounding potential exchange-traded funds (ETFs) that might spend money on the altcoin if accredited, The Motley Idiot has cautioned that the present market correction might persist longer than many anticipate.
Warns Of Extended Downtrend
In a latest evaluation, the agency attributed a few of XRP’s lackluster efficiency to a basic malaise within the cryptocurrency market, the place merchants are ready for Bitcoin (BTC), the market’s main cryptocurrency, to guide a brand new value rally.
Nonetheless, two essential elements counsel that XRP might face a extra extended downtrend than beforehand anticipated. The anticipated launch of recent spot crypto ETFs has been a focus of dialogue for the reason that starting of the yr.
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A number of asset managers have submitted functions to the Securities and Trade Fee (SEC) to create spot XRP ETFs, with Bloomberg estimating a 95% approval likelihood and on-line prediction markets estimating 94%.
Whereas approval appears doubtless, the true query revolves across the demand for these ETFs. XRP, presently the world’s third-largest cryptocurrency, undoubtedly has some degree of institutional curiosity, but the precise inflows inform a distinct story.
Information signifies that solely $1.25 billion flowed into XRP from institutional traders in the course of the first eight months of 2025. JPMorgan Chase has projected that the upcoming ETFs might appeal to between $4 billion and $8 billion into XRP.
Nonetheless, the agency asserts that even the decrease finish of this estimate may not considerably affect XRP’s value motion over the long-term, given its present market capitalization of $180 billion.
Restoration For XRP Could Not Happen Till 2026
Whereas there may be appreciable optimism amongst analysts concerning XRP’s future, with some value predictions suggesting it might attain new report costs of as much as $4, $5, and even $10, the corporations famous that these projections don’t account for the dangers of short-term value declines.
In response to crypto betting platform, Polymarket, there’s a 32% likelihood of XRP dropping to $2.50 this yr, a 30% likelihood it might fall to $2.40, and a 27% likelihood of plummeting to $2.
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These statistics point out that XRP might proceed to float decrease over the following few months earlier than any significant restoration takes place, doubtlessly not occurring till 2026.
Finally, The Motley Idiot evaluation means that any upward motion for XRP is prone to depend upon Bitcoin’s efficiency. If Bitcoin fails to reclaim its earlier peak by the top of the yr, it is going to be difficult for XRP to provoke its personal rally.
As of this writing, the XRP value has recovered the $3.0675 mark, representing a 1.5% surge throughout the final 24 hours. This pales compared to Ethereum’s (ETH) 5% positive aspects throughout the identical time-frame.
Featured picture from DALL-E, chart from TradingView.com
