TLDR
- XRP price has surged to $2.34, a 7.07% increase in 24 hours with trading volume up 13.89% to over $5 billion
- Ripple and SEC reached a $50 million settlement agreement, significantly reduced from the initial $2 billion fine sought
- XRP has extended its 30-day rally to 27%, reaching nearly $2.40 following the settlement news
- On-chain metrics like the MVRV ratio at 2.22 suggest XRP is not yet overvalued, with potential to reach $3
- Technical analysis shows bullish momentum with XRP breaking out of a descending channel, potentially targeting $3.40 if momentum continues
XRP has seen a substantial price increase, trading at $2.34 on Friday. This represents a 7.07% gain in the past 24 hours and a 6.08% increase over the last week. The spike follows news of Ripple and the SEC agreeing to a $50 million settlement, ending their long-running legal dispute.
Trading volume for XRP has surged by 13.89% to approximately $5 billion in the past day. This high volume indicates strong interest from investors who may be anticipating further short-term gains for the token.
The total market capitalization of XRP now stands at $137.1 billion, reflecting growing confidence in the cryptocurrency following the settlement news.
Settlement Details Drive Price Action
On Thursday, court filings revealed that Ripple and the U.S. Securities and Exchange Commission had reached a settlement agreement of $50 million. This amount represents a major reduction from the initial $2 billion fine the SEC had sought in March 2024, which was later reduced to $125 million before the final settlement was reached.
The announcement triggered an immediate price reaction. Before the court filing, XRP was trading at around $2.12, but the news prompted a bullish engulfing candle on the charts, pushing the price close to $2.40.
This settlement marks the conclusion of a lengthy legal battle that has hung over Ripple and affected XRP price action for years. The resolution of this uncertainty appears to have unleashed buying pressure that was previously held back.
Technical Indicators Point Higher
Technical analysis of XRP shows multiple bullish signals. The cryptocurrency has printed seven consecutive green candlesticks on the 4-hour chart, helping it break out of a descending channel formation.
The setup resembles a bull flag pattern that has now resolved to the upside. The Chaikin Money Flow (CMF) reading has climbed to 0.21, indicating rising buying pressure around XRP.
On the daily chart, XRP has broken above the upper trendline of a falling parallel channel, with the previous resistance at $2.28 now potentially serving as support.
#XRP — 5 Colors / 5 Scenarios ⚪️🟡🔴🔵🟢:
⚪️White: Confirmed and solid — all systems go! ✅
🟡Yellow: Coming very soon — keep an eye out! 👀
🔴Red: Coming soon — major movement ahead! 🔥
🔵Blue: Coming for sure — no doubt about it! 🚀
🟢Green: Coming, and it’s inevitable — a… https://t.co/5f0UOa8gwS pic.twitter.com/voHWbYrPsW— EGRAG CRYPTO (@egragcrypto) May 8, 2025
The Moving Average Convergence Divergence (MACD) has turned positive, suggesting building bullish momentum. The Relative Strength Index (RSI) has reached 62.03, further reinforcing the positive outlook without yet reaching overbought territory.
If the current trend continues, XRP could target the resistance level at $2.72. A breakthrough at this point might open the path to a new yearly high of $3.40.
However, profit-taking could lead to a price decline below $2.28, with a possible slide toward $1.60 near the 0.618 Fibonacci retracement level.
On-Chain Metrics Suggest Room for Growth
Despite the recent price increase, on-chain metrics suggest XRP may not yet have reached its peak for this market cycle.
Data shows that the realized price for XRP is $1.05, substantially below the current market price. This gap indicates potential for continued upward movement in the short term.
The Market Value to Realized Value (MVRV) ratio, which measures unrealized profits and losses in the market, currently stands at 2.22. Historically, XRP reaches local or market tops when this ratio falls between 2.59 and 4.26.
With the current MVRV ratio still below these thresholds, XRP appears to have room for further price appreciation before entering overvalued territory. This metric suggests the token could potentially rise above $3 before this market cycle peaks.
XRP’s recent price performance places it among the top performers in the crypto market. In the last 24 hours, while XRP gained over 7%, other cryptocurrencies like Virtuals Protocol, Pepe, and Brett (Based) emerged as top gainers, while Four, PAX Gold, and Tether Gold were among the top losers.
The resolution of the SEC case represents a major hurdle cleared for Ripple and XRP, potentially setting the stage for a new chapter in the cryptocurrency’s market performance.
