Trump's Tariffs Send XRP Tumbling; ETF Approval Hopes Lift Spirits

Ripple's XRP token faced a setback on Wednesday as President Donald Trump's proposed 25% tariff on EU goods dampened market sentiment. The announcement sent the price of XRP lower, with the token's session lows reflecting the bearish mood.

The XRP token has been in a downtrend since early February, with geopolitical risks and market risk aversion contributing to its bearish sentiment. Despite attempts to break above strong resistance at $2.25 and short-term support at $2.15, technical indicators suggest that the token's momentum is likely to shift further into a bear trend.

Key levels to watch include the $2 support level. If it breaks down, it could trigger another wave of selling pressure, pushing XRP to $1.80. If the trend continues, the token could fall as low as $1.14.

However, there is some positive news for XRP investors. ETF.com reported that the Hashdex Nasdaq XRP Fund is proceeding with a pre-operational process with Brazil's Comissão de Valores Mobiliários (CVM), the first over-the-counter (spot) XRP exchange-traded fund to be sanctioned by the country's securities regulator.

Meanwhile, US XRP ETF applications are pending with regulators. If history is any guide, the approval of institutional Bitcoin (BTC) and Ether (ETH) ETFs could spark renewed interest in XRP and boost its price.