XRP Price Prediction: Will the Token Hit $5?

After consolidating for weeks, the token has regained upward momentum, currently trading at $2.45. This XRP price level is well above the critical support of $1.97 and not far from its 2025 high of $3.31.

After weeks of consolidation, the token has finally regained some upward momentum, currently trading at $2.45. This XRP price level is well above the critical support of $1.97 and not far from its 2025 high of $3.31. As the cryptocurrency’s adoption continues to accelerate, a breakout beyond its recent highs seems imminent, with $5 emerging as a key target.

Nevertheless, let’s take a closer look at the factors that could influence XRP’s price trends in the coming months.

Ripple’s Expansion Within the Financial Sector

The financial sector giant’s expansion continues to solidify XRP’s role as a major player in cross-border payments. Recently, Brad Garlinghouse, Ripple’s CEO, highlighted the company’s increasing partnerships with banks and financial institutions.

"We're already working with multiple central banks. Some are still under wraps, but a few are public. Top tier banks buy into the vision for a better financial system," Garlinghouse stated, emphasizing the growing adoption of Ripple cryptocurrency-based payment solutions.

A researcher suggests that Ripple is being actively integrated into the SWIFT network. Source: Kenny Nguyen via X

Specifically, Ripple has secured over 300 institutional partnerships, presenting itself as a viable alternative to the aging SWIFT network. Crypto analyst John Squire pointed out that SWIFT, which handles over $150 trillion in transactions daily, has become outdated due to high fees and slow settlement times.

"Good point. SWIFT is slow and expensive because it's old tech and operates in batches. Whereas Ripple's system settles in real time for under a penny," explained Squire, further elaborating on the potential of Ripple XRP to replace SWIFT for global transactions.

The End of the SEC Lawsuit Removes a Key Barrier

Of course, a major point of contention among XRP investors has been the legal troubles faced by the cryptocurrency in recent years. However, the landscape has shifted dramatically after the U.S. Securities and Exchange Commission (SEC) dropped its appeal in its XRP lawsuit against Ripple. This development removes a significant regulatory overhang, boosting investor confidence and setting the stage for further institutional adoption.

XRP is surging as Ripple overcomes SEC pressure, with ETF speculation reaching 87%, sparking excitement in the community. Source: Smelly Rino via X

The legal clarity could also open doors for a spot XRP exchange-traded fund (ETF). Several asset managers have already submitted proposals for such products, signaling a growing interest in the cryptocurrency from institutional investors. Additionally, the regulatory environment under the Trump administration is expected to be more favorable for crypto, rendering the outlook for Ripple market expansion even brighter.

Technical Indicators Suggest a Rally Toward $5

Examining XRP’s chart price from a month’s perspective reveals strong bullish momentum. The token’s support level at $1.97 has remained largely unthreatened throughout this period, and it’s still trading above its 25-month and 15-month moving averages.

Historically, such a trend usually implies a high probability for the cryptocurrency to continue making further gains.

If XRP manages to break above its resistance of $3.40, then the next serious target according to analysts is $5. A successful breach above this level could push XRP into price discovery with yet higher levels in the longer term. Increasing demand for XRP as a liquidity bridge asset and growing institutional takeup further support this positive XRP price prediction.

A Broader Role for XRP in the Crypto Space

Beyond payments, XRP is expanding its functionality within the crypto ecosystem. The network now supports smart contracts, a feature primarily associated with Ethereum. In addition, the Ripple ledger‘s transaction capacity is far greater than that of Ethereum, boasting 50,000 per second compared to Ethereum’s 15-30.

Finally, to conclude this analysis on what could influence the price of XRP, it’s worth noting that the integration of stablecoins is also progressing smoothly. Having launched its own stablecoin, RLUSD, which will operate on the XRP Ledger, the project is continuing to develop rapidly and expand its offerings.

This should continue to increase the utility of XRP and make it even more a pillar of the financial system.

As for large institutions, Bank of America is among those said to be exploring more integration with the Ripple system, further driving demand for the Ripple currency price.