XRP News Today: XRP Surges 7.2% as Ripple's Banking License Bid Boosts Market Sentiment

XRP, the cryptocurrency associated with Ripple, has shown significant movement in recent days, breaking out of a "pennant" pattern on its weekly chart. This pattern is typically associated with strong upward momentum, suggesting a potential 40% gain to $3.20. The breakout is supported by several positive developments surrounding Ripple and a surge in XRP futures demand, indicating a potential rally.

XRP's price rose in tandem with the broader cryptocurrency market on Thursday, driven by several factors. Ripple's application for a US banking license, the SEC's approval of Grayscale's Digital Large Cap Fund conversion into a spot ETF, and the recent partnership with OpenPayd have all contributed to this upward trend. Additionally, the elevated odds of a spot ETF approval have further boosted market sentiment. XRP's price increased by as much as 7.2% to an intraday high of $2.31 on Thursday, from a low of $2.15 the previous day.

The altcoin's open interest surged by 11% over the last 24 hours and 30% over the last 10 days to $4.75 billion, signaling the return of derivatives traders. This increase in open interest, alongside the price rise, indicates growing interest from institutional investors. Historically, significant leaps in open interest have preceded major rallies in XRP's price. For instance, during the period when US President Trump announced a 90-day tariff pause, there was a 91% jump in open interest to $5.75 billion from $3 billion between April 9 and May 14, which accompanied a 65% rise in XRP's price to a high of $2.65 from a low of $1.61 over the same period.

XRP's long/short ratio across all exchanges is currently skewed toward bullish positions at 68%. While this introduces long liquidation risk, it underscores rising confidence in XRP's upside potential. The XRP/USD pair is expected to resume bullish momentum after breaking out of a multimonth pennant. XRP's price action between December 2024 and July 2025 has led to the formation of a pennant on the weekly chart. The price broke above the pennant's descending trendline at $2.21 on July 3, signaling the start of a significant upward move. The target is set by the largest distance between the pattern's upper and lower boundaries, which comes to be around $3.20, or a 40% jump from the current price.

Pseudonymous analyst Best Analysts shared a chart showing XRP trading closer to the upper boundary of a "bull pennant" on the daily chart with an upside target of $3.40. Several analysts have also predicted XRP's short-term price target above $3, citing persistent whale accumulation, institutional demand for a possible spot ETF, and improving regulatory clarity. This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.