Ripple's XRP has been making significant waves in the cryptocurrency market throughout early July 2025, fueled by a blend of strategic partnerships, regulatory progress, and strong technical signals. The digital asset's price has surged impressively, climbing from around $2.15 to near $2.40 in just over a week, with analysts and traders closely watching for further gains amid growing institutional interest and bullish chart patterns.
One of the pivotal moments propelling XRP's recent rally was Ripple's announcement on July 1, 2025, appointing the Bank of New York Mellon (BNY Mellon) as the primary custodian for its Ripple USD (RLUSD) stablecoin reserves. This move not only underscores Ripple’s commitment to bridging traditional finance with blockchain technology but also enhances XRP’s utility by potentially shifting RLUSD activity from Ethereum to the XRP Ledger (XRPL).
RLUSD, a stablecoin pegged to the U.S. dollar and issued under a New York Department of Financial Services Trust Company Charter, currently sees about 87% of its activity on Ethereum, according to DefiLlama data. However, industry observers like Crypto Eri, a noted analyst, suggest the long-term value for XRP lies in RLUSD’s native presence on XRPL. In a July 8 post on X, Eri emphasized that Ripple is playing the long game, stating, “Its public statements to take steps to integrate smart contracts on the mainnet will eventually position RLUSD on XRPL, as a MORE competitive stablecoin, with faster and cheaper settlements than Ethereum.” This shift could significantly boost demand for XRP if it captures a larger share of the stablecoin market from Ethereum.
Supporting this fundamental optimism, XRP’s technical charts have been flashing bullish signals. The token recently broke above the neckline of an inverse head-and-shoulders pattern on the daily chart, a classic bullish reversal setup. This breakout around the $2.30 level now acts as a support base, with the pattern projecting an upside target near $2.87—about 20% higher than the breakout point.
On a broader timeframe, XRP appears to be exiting a multimonth descending triangle on the 3-day chart. Analyst Mikybull Crypto pointed out that while descending triangles often lead to breakdowns, in some cases they serve as bullish continuation patterns. XRP's persistent climb above the triangle's upper trendline suggests the latter, with a breakout target near $3.72 in August—an eye-catching 55% gain from current levels. However, a correction below this upper trendline could push the price back toward $2, potentially delaying or invalidating the bullish scenario.
Adding to the surge, XRP smashed through the $2.28 resistance level following Ripple's application for a U.S. banking license—a national trust bank charter filed with the Office of the Comptroller of the Currency. This regulatory milestone has been widely perceived as a game changer, positioning XRP as a more institutionally friendly asset amid the often uncertain regulatory landscape for cryptocurrencies.
On July 8, XRP jumped 2.36% within 24 hours, climbing from $2.21 to $2.26 on heavy volume that exceeded 67 million units, signaling serious institutional buying rather than mere retail momentum chasing. After briefly hitting $2.29, XRP held firm above the $2.24-$2.25 support zone, which traders now consider a critical foundation for further advances. Analysts are eyeing the $2.38 level as the next immediate target, with extended runs toward $2.60 and $3.40 possible if the momentum sustains.
Ripple’s regulatory progress has also been highlighted by CEO Brad Garlinghouse’s recent testimony before the U.S. Senate Committee on Banking, Housing, and Urban Affairs. Speaking during a hearing titled “From Wall Street to Web3,” Garlinghouse stressed the need for clear digital asset regulations and spotlighted XRP’s growing role in global finance. His testimony coincided with XRP reclaiming the 0.382 Fibonacci retracement level at $2.2680 on the weekly chart for the first time since early May 2025, signaling a confirmed trend reversal.
Technically, XRP's daily chart shows a breakout above a descending trendline that had capped price since February 2025. A higher low at $2.06 followed by a rally further confirms the bullish shift. On the 4-hour chart, the 20-period Exponential Moving Average (EMA) has crossed above the 50, 100, and 200 EMAs, a strong sign of short-term bullish control. Price action is pressing the upper Bollinger Band with expanding volatility, while the Parabolic SAR indicator remains supportive above $2.30. The immediate resistance stands at $2.70, a level linked to previous weekly rejection wicks and Fibonacci confluence. Should buyers close above $2.70 on the weekly chart, XRP could extend gains toward $3.00 and even $3.40 in the weeks ahead. Conversely, failure to hold above $2.30 might lead to a retest of the $2.10 demand base.
Further bullish momentum is supported by XRP’s derivatives market. Futures Open Interest (OI) surged nearly 30% from $3.54 billion on June 23 to $4.98 billion recently, reflecting growing trader confidence. On the 8-hour chart, XRP has formed a Golden Cross pattern, with the 50-period EMA crossing above the 200-period EMA, while the Moving Average Convergence Divergence (MACD) indicator has maintained a buy signal since July 6, 2025. A confirmed breakout from an inverse Head-and-Shoulders pattern estimates an 18% move to $2.76, though resistance at $2.40 remains a hurdle, particularly given its role as a ceiling around June 20.
Underlying these technical and regulatory factors is Ripple’s strategic aim to expand its stablecoin infrastructure globally. RLUSD is designed as a regulatory-compliant, transparent stablecoin tailored for enterprise-grade financial use cases, particularly cross-border payments. Jack McDonald, Ripple’s Senior Vice President of Stablecoins, described RLUSD as addressing “a critical gap in the market as a stablecoin developed for enterprise-grade financial use cases, designed to meet the rigorous standards of leading financial institutions.” Ripple’s efforts to build partnerships beyond the U.S., especially in Europe and Asia, aim to position the company as a bridge between traditional finance and the digital currency ecosystem, potentially capturing a substantial portion of the global SWIFT payment volume.
Market participants are now watching the $2.40 to $2.70 range closely for a confirmed directional breakout. If XRP can sustain momentum above these levels, the path toward the yearly highs near $3.39 and beyond could become attainable. The convergence of bullish technical patterns, institutional adoption signals, and regulatory clarity forms a compelling narrative for XRP’s potential to continue its upward trajectory.
However, as with any investment in the volatile crypto space, caution is warranted. Price corrections below key support levels could temper the rally, and external factors such as macroeconomic uncertainties—including expanded U.S. tariffs on commodities—may introduce headwinds. Still, XRP’s recent developments mark it as one of the few large-cap cryptocurrencies currently exhibiting strong fundamentals alongside technical strength, making it a token to watch closely as July unfolds.
