Sat, March 22

XRP Struggles at $2.40 but Holds Long-Term Growth Potential

XRP Struggles at $2.40 but Holds Long-Term Growth Potential Altcoin News
  • XRP price struggles despite positive news.
  • Crypto founder Edoardo Farina predicts new peak for the coin in 2025.
  • Multiple catalysts including potential ETFs could drive price growth.

Cryptocurrency founder Edoardo Farina remains bullish on XRP’s prospects for 2025, predicting significant price appreciation despite recent market challenges. The digital asset is currently trading at $2.40, down 4% over the past day and showing a substantial 25% loss for investors who entered positions in the past two months.

Despite this short-term weakness, XRP has demonstrated notable resilience in the broader 2025 market environment. The token still maintains a 15% year-to-date gain, outperforming major cryptocurrencies like Bitcoin (down 10%) and Ethereum (down 40%) over the same period. This relative strength forms part of the foundation for Farina’s optimistic outlook.

“No way XRP won’t see a new peak this year,” stated Farina, who serves as Head of Social Adoption at XRPHealthcare. As bearish sentiment permeates much of the cryptocurrency market, some analysts have questioned whether the bull market has already concluded, potentially leaving assets like XRP below previous highs. Farina strongly disagrees with this assessment, pointing to several catalysts he believes will drive XRP to new heights in 2025.

Several XRP ETFs under review

Chief among these potential price drivers is the prospect of XRP ETFs reaching the market. Over 15 applications for XRP exchange-traded funds are currently under SEC review. These investment vehicles could significantly expand XRP’s accessibility to institutional investors and traditional finance participants. Similar products for Bitcoin contributed to its dramatic price appreciation in 2024, suggesting a parallel outcome might await XRP if regulatory approval is granted.

Upcoming stablecoin regulation represents another potential tailwind for XRP, according to Farina. While the coin itself is not a stablecoin, many community researchers including SMQKE argue it could benefit substantially from regulatory clarity in this sector. They suggest that U.S. stablecoin regulations could enhance the credibility and adoption of Ripple’s RLUSD stablecoin.

This connection to XRP occurs through the network’s fee structure, as RLUSD transactions require fees paid in the coin. These fees are subsequently burned, reducing the token’s circulating supply and potentially increasing its scarcity value. Farina has gone further, speculating that Ripple’s RLUSD could eventually become a standard for payment transactions, driving additional XRP demand.

Political factors also feature in Farina’s bullish thesis. He cites the current U.S. administration’s stated support for domestic cryptocurrency firms, including Ripple. President Donald Trump has indicated his administration would prioritize U.S.-based crypto companies, potentially providing XRP with enhanced institutional backing and mainstream acceptance.

Farina anticipates what he describes as “institutional FOMO” developing in the XRP market. This phenomenon would involve large-scale institutional investors rushing to acquire positions, driving substantial buying pressure. Combined with a potential “supply shock” resulting from increased demand against limited available tokens, these factors form the foundation of his prediction that the coin will reach a new all-time high before year’s end.

Seasoned Crypto Content Writer, Editor and Journalist who entered the cryptocurrency industry out of sheer passion and love for writing.