XRP Drops 3.191% Amid Bullish Predictions, Potential US Reserve Inclusion

XRP's latest price was $2.05, down 3.191% in the last 24 hours. Cryptocurrency analyst EGRAG Crypto has identified a potential bullish scenario for XRP, suggesting the asset may be preparing for a significant upward movement after testing a historically important technical zone. This zone, referred to as the “white circle” in his analysis, has previously coincided with periods of strong upward momentum for XRP. According to EGRAG, XRP’s recent pullback to the $1.61 level in April 2025 marks its latest return to this critical area. The analyst argues that this development mirrors patterns seen during earlier market cycles, where a revisit to this zone preceded major price rallies. Based on this historical behavior, he has outlined three potential price targets for the next upward movement.

In EGRAG’s evaluation, the white circle represents a support region that XRP historically revisits after initial bullish breakouts above the 21-week exponential moving average (EMA). This pattern was first observed in the 2017–2018 cycle. During that period, XRP surpassed the 21 EMA in March 2017 following nearly a year of sideways movement. From there, the asset rapidly climbed over 7,000% to reach $0.3988 by May 2017. Following this surge, XRP entered a consolidation phase that lasted approximately six months, ultimately returning to the 21 EMA. This marked the first instance of a white circle retest. The second leg of the rally then began, driving the token upward by an additional 1,900% to a peak of $3.55 in January 2018. A similar pattern emerged during the 2020–2021 market cycle. After years of trading below the 21 EMA due to broader market weakness and regulatory pressure, XRP broke above the moving average in late 2020, reaching $0.8294 by November. The rally was cut short, however, by the U.S. SEC lawsuit filed in December 2020. Nevertheless, XRP revisited the white circle support level and launched a secondary rally, rising nearly 500% to $1.98 by April 2021.

EGRAG believes XRP is currently repeating this pattern. The asset broke above the 21 EMA in November 2024 and reached a high of $3.40 by January 2025, representing a 580% gain. It has since entered a period of downward pressure, resulting in a retest of the 21 EMA in April at around $1.61. This price action, according to EGRAG, confirms another white circle revisit. Based on this technical behavior, he proposes three price targets. If XRP mimics the 2020–2021 pattern, a 465% gain from the 21 EMA could send the asset to $11.50. Should it follow the more aggressive 2017–2018 trajectory, it could rise by 1,964% to a peak of $42. A middle-ground scenario, derived from the average of both previous cycles, yields a projected increase of 1,225%, placing XRP at $27, a level EGRAG has consistently emphasized in past analyses. While these projections are grounded in historical chart patterns and technical signals and are not mere speculation, investors must approach such forecasts with caution and consider market volatility and external factors when evaluating potential outcomes.

Rumors are swirling about the US government’s potential incorporation of XRP into its national reserves, as well as the possible seizure of Ripple’s XRP escrow. However, prominent attorney Bill Morgan has publicly cast doubt on these rumors. According to widely followed crypto analyst John Squire, the United States government could potentially take control of the XRP tokens currently held in Ripple’s escrow. This revelation comes at a significant time, following President Donald Trump’s previous confirmation of plans to create a Strategic Bitcoin Reserve and a separate Digital Asset stockpile holding cryptocurrencies such as Solana (SOL), Cardano (ADA), and Ripple’s XRP. However, Bill Morgan refuted claims that the US government intends to utilize XRP as part of a broader strategy to support its financial system. “No it won’t,” Morgan asserted in a post on X. Another industry commentator, going by the online alias Pumpius, also informed his X followers about the rumors about the US authorities potentially repurposing Ripple’s XRP escrow as part of the national financial reserves. Pumpius compared the XRP scenario to spot Bitcoin exchange-traded funds (ETFs), which were once considered unlikely but ultimately became a reality, indicating that the Ripple-affiliated crypto could make its way to US reserves. Notably, the longstanding Ripple vs SEC lawsuit is nearing its conclusion, spurring optimism within the community. Regulatory clarity on XRP’s legal status is stirring speculation about its potential inclusion. A host of companies have in recent months announced reserves of the Ripple-created cryptocurrency. Singapore-based Web3 company Trident Digital announced it will start a strategic XRP treasury of up to $500 million. Others like Webus, VivoPower, and Wellgistics have also announced XRP-centric reserves. These moves are indicative of growing institutional interest in Ripple’s XRP ecosystem. While Ripple’s technology is gaining traction among corporations, claims related to US reserves remain unsubstantiated.