XRP Price Prediction: Will the US-China Trade Deal Boost XRP to New All-Time Highs?

XRP has seen positive price action in recent days, climbing to $2.13 with an intraday high of $2.16 on May 7, 2025.

XRP price is seeing some positive action in recent days as it trades up at the $2.13 level. It reached an intraday high of $2.16 on May 7. The moves come as crypto markets react to the potential progress in US-China trade relations.

The price action also saw XRP break out of a four-day downtrend, which could indicate a shift in market sentiment. Technical analysis suggests that if XRP manages to break above the 100-EMA line at $2.21, it could continue to rise toward the $2.45 mark.

The optimism in the market stems from the upcoming discussions between US and Chinese officials in Switzerland. US Treasury Secretary Scott Bessent revealed plans to meet with Chinese delegates over the weekend to explore ways forward in trade negotiations.

“The world has been coming to the US, and China has been the missing piece. We will meet on Saturday and Sunday to discuss our shared interests,” said Bessent.

China’s Ministry of Commerce confirmed that Vice Premier He Lifeng will represent China in these economic and trade talks with the US Treasury Secretary. This development has boosted both traditional and crypto markets, with Bitcoin rising nearly 3% and Ethereum gaining over 1.50%.

Strong Institutional Performance

XRP showcased strong performance in Q1 2025, especially following regulatory relief after the SEC withdrew its Ripple appeal. According to Ripple’s Q1 report, XRP outpaced both Bitcoin and Ethereum in terms of ETF-based demand.

Investment products based on XRP clocked in $37.7 million in inflows during Q1, bringing the year-to-date total to $214 million. This figure falls just $1 million short of overtaking global Ethereum funds, highlighting the growing institutional interest.

The XRP/BTC ratio, which tracks relative price strength between XRP and Bitcoin, went up by more than 10% in Q1. This metric demonstrates that XRP outperformed Bitcoin by 350% between November 2024 and early 2025, although Bitcoin has recently gained strength against the altcoin.

Daily trading volume for XRP has remained relatively stable, fluctuating around $3.2 billion for the past six months. However, network activity on the XRP Ledger dropped by over 30% in Q1, reflecting a broader market contraction.

Technical Outlook

XRP faces resistance from multiple technical factors, including the overhead trend line and the 50 and 100 EMA lines. The MACD and signal lines have recently given a negative crossover, which could limit any short-term growth.

For the bullish trend to continue, XRP must overcome these technical hurdles. The 200 EMA line at approximately $1.9978 currently provides strong support for the price.

On the daily price chart, XRP appears close to testing the $2 level, which coincides with the 200-day moving average. This level could provide support, but a break below might lead to further downside.

As of March 31, 2025, Ripple held 41.69 billion XRP tokens, representing about 75.8% of the circulating supply of approximately 55 billion tokens. The company has stated that it will periodically update its XRP holdings over the next 42 months.

Market participants are observing how the US-China trade discussions unfold, as positive outcomes could further boost XRP and the broader crypto market. The upcoming weekend meetings in Switzerland may prove to be a pivotal moment for global markets and risk assets like cryptocurrencies.