XRP has been on a significant upward trajectory, driven by a rise in institutional adoption and robust technical signals. After several weeks of consolidation, the token has regained its upward momentum and is currently priced at $2.45. This trading level is comfortably above the crucial support point of $1.97 and relatively close to its peak of $3.31 reached in 2025. Analysts suggest that as the adoption of XRP continues to grow, a breakthrough beyond its recent highs could be on the horizon, with $5 identified as a significant target.
### Ripple’s Expanding Institutional Collaborations
Ripple is solidifying its presence in the financial sector, enhancing XRP’s status as a key player in international payment systems. Brad Garlinghouse, the CEO of Ripple, recently emphasized the company’s expanding network of partnerships with banks and financial institutions. He mentioned, “Ripple is already working with multiple central banks. Some deals are public… others still under wraps,” highlighting the increasing acceptance of Ripple’s cryptocurrency-based payment solutions. A researcher has indicated that Ripple is being actively incorporated into the SWIFT network, which is a crucial messaging system used for international transactions.
Ripple has established over 300 partnerships with institutions, positioning itself as a credible alternative to the traditional SWIFT network. Crypto analyst John Squire pointed out that SWIFT, which handles transactions worth over $150 trillion daily, has become outdated due to its high costs and slow processing times. Squire noted, “Ripple’s system settles in real time for under a penny,” underscoring the potential for Ripple to supplant SWIFT in global transactions.
### The Resolution of the SEC Lawsuit Clears a Major Obstacle
XRP’s legal challenges have been a significant concern for investors in recent years. However, the situation has changed dramatically following the U.S. Securities and Exchange Commission (SEC) decision to drop its appeal in the lawsuit against Ripple. This shift removes a major regulatory hurdle, enhancing investor confidence and facilitating further institutional adoption. As Ripple navigates through the SEC’s pressures, XRP is experiencing a surge, with speculation around ETFs reaching 87%, igniting enthusiasm within the community. The clarity in legal standing may also pave the way for a spot XRP exchange-traded fund (ETF), with several asset managers already submitting proposals to the SEC, indicating a rising interest from institutional investors. Furthermore, the regulatory climate expected under the Trump administration is anticipated to be more crypto-friendly, supporting Ripple’s market expansion.
### Technical Indicators Point Toward a Rally to $5
Recent price charts for XRP reflect strong bullish momentum. The token’s support level at $1.97 remains intact, with trading above both its 25-month and 15-month moving averages. Historically, such patterns suggest a high likelihood of continued gains. XRP appears to be rebounding from the $2 support, with Elliott Wave analysis indicating a potential target of $5. If XRP can break through its resistance level at $3.40, analysts predict that the next significant target will be $5. Successfully surpassing this threshold could lead XRP into a price discovery phase, potentially reaching even higher levels in the long run. The increasing demand for XRP as a liquidity bridge asset, along with its growing institutional adoption, supports this optimistic price outlook.
### XRP’s Expanding Role in the Crypto Ecosystem
Beyond its payment capabilities, XRP is broadening its functionality within the cryptocurrency landscape. The network now supports smart contracts, a feature commonly associated with Ethereum, and boasts a transaction capacity that significantly outstrips Ethereum’s, handling 50,000 transactions per second compared to Ethereum’s 15-30. XRP is poised to become dominant in the payments sector, especially with XRPL’s leading DeFi token, CTF, securing major institutional partnerships ahead of its anticipated breakthrough on April 3rd. Ripple has also launched its stablecoin, RLUSD, which will operate on the XRP Ledger, enhancing the utility of XRP and reinforcing its position within the financial system. Notably, Bank of America is among the large institutions exploring deeper integration with Ripple’s system, further driving demand for XRP.
### Is XRP a Good Investment Below $3?
With the SEC lawsuit against Ripple resolved, an increase in banking partnerships, and a strong technical foundation, XRP appears well-positioned for continued growth. While the cryptocurrency market is known for its volatility, Ripple’s unique standing in institutional finance makes it one of the most promising assets in the sector. At the time of writing, XRP was trading around $2.43. Despite potential short-term fluctuations, the long-term prospects look bright. Investors considering XRP below the $3 mark may find it an appealing opportunity, especially given the favorable regulatory environment and positive usage trends. If the anticipated bullish momentum materializes, XRP’s journey to $5 could be closer than anticipated.
