XRP News Today: XRP Outperforms Bitcoin by 10% in Q1 2025, Driven by Trade Talks and Investment Inflows
1min read XRP, the cryptocurrency associated with Ripple, has shown significant performance in the first quarter of 2025. According to Ripple’s Q1 report, XRP outperformed Bitcoin by 10% based on the XRP/BTC ratio. This outperformance is notable given the volatile nature of the cryptocurrency market and the dominance of Bitcoin as the leading digital asset.
XRP-based investment products also saw substantial inflows during the first quarter, recording $37.7 million in capital. This brought the year-to-date total to $214 million, nearly overtaking global Ethereum funds. The consistent trading activity of XRP, with an average daily trading volume around $3.2 billion over the past six months, reflects ongoing market interest in the token.
Ask Aime: Why does XRP outperform Bitcoin in Q1?
Despite the strong performance, XRP faces technical challenges. The cryptocurrency is currently trading at $2.13, showing a nearly 2% rise on the day. Technical indicators suggest the possibility of continued upward momentum, though several resistance levels remain overhead. A potential breakout above the 100-EMA line at $2.21 could push XRP toward the 23.60% Fibonacci level at $2.45.
Ripple, the company behind XRP, holds a substantial portion of the token’s supply. As of March 31, 2025, Ripple held 41.69 billion XRP tokens, representing about 75.8% of the circulating supply of approximately 55 billion tokens. This control over the supply could impact future price movements and market dynamics for XRP.
The recent upward price movement of XRP coincides with developments in US-China trade relations. Treasury Secretary Scott Bessent revealed plans for discussions between US and Chinese officials in Switzerland over the weekend. The news triggered positive reactions across financial markets, with the NASDAQ 100 and S&P 500 jumping nearly 1% despite a weaker opening.
China’s Ministry of Commerce confirmed that Vice premier He Lifeng will visit Switzerland as the Chinese representative for China-US Economic and Trade Affairs. This development has energized both US and crypto markets, with Bitcoin rising by nearly 3%, while Ethereum gained more than 1.50%, contributing to XRP’s 1.85% increase.
On the daily price chart, XRP appears to be testing the $2 level, which coincides with the 200-day moving average. This level could provide support to prevent further decline. The XRP Ledger showed some decreased activity in Q1, with network activity dropping by over 30%, reflecting a broader market contraction during that period.
Ripple has indicated it will periodically update its XRP holdings over the next 42 months, which may impact future supply dynamics for the token. The upcoming weekend discussions between US and Chinese officials could prove pivotal for global markets and risk assets like cryptocurrencies, potentially providing further momentum for XRP’s price action.
