As the altcoin market experiences a resurgence, XRP has struggled to achieve momentum, consolidating between $2.70 and $3 for the previous two weeks.
Despite the joy surrounding potential exchange-traded funds (ETFs) that would spend money on the altcoin if accepted, The Motley Fool has cautioned that the present market correction could persist longer than many anticipate.
Warns Of Prolonged Downtrend
In a latest evaluation, the agency attributed a few of XRP’s lackluster efficiency to a common malaise within the cryptocurrency market, the place merchants are ready for Bitcoin (BTC), the market’s main cryptocurrency, to steer a brand new value rally.
However, two important elements recommend that XRP could face a extra extended downtrend than beforehand anticipated. The anticipated launch of latest spot crypto ETFs has been a focus of debate because the starting of the 12 months.
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Several asset managers have submitted purposes to the Securities and Exchange Commission (SEC) to create spot XRP ETFs, with Bloomberg estimating a 95% approval likelihood and on-line prediction markets estimating 94%.
While approval appears possible, the true query revolves across the demand for these ETFs. XRP, presently the world’s third-largest cryptocurrency, undoubtedly has some stage of institutional curiosity, but the precise inflows inform a unique story.
Data signifies that solely $1.25 billion flowed into XRP from institutional traders in the course of the first eight months of 2025. JPMorgan Chase has projected that the upcoming ETFs might entice between $4 billion and $8 billion into XRP.
However, the agency asserts that even the decrease finish of this estimate won’t considerably affect XRP’s value motion over the long-term, given its present market capitalization of $180 billion.
Recovery For XRP May Not Occur Until 2026
While there’s appreciable optimism amongst analysts relating to XRP’s future, with some value predictions suggesting it might attain new file costs of as much as $4, $5, and even $10, the companies famous that these projections don’t account for the dangers of short-term value declines.
According to crypto betting platform, Polymarket, there’s a 32% likelihood of XRP dropping to $2.50 this 12 months, a 30% likelihood it might fall to $2.40, and a 27% likelihood of plummeting to $2.
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These statistics point out that XRP might proceed to float decrease over the following few months earlier than any significant restoration takes place, doubtlessly not occurring till 2026.
Ultimately, The Motley Fool evaluation means that any upward motion for XRP is prone to rely on Bitcoin’s efficiency. If Bitcoin fails to reclaim its earlier peak by the tip of the 12 months, will probably be difficult for XRP to provoke its personal rally.
As of this writing, the XRP value has recovered the $3.0675 mark, representing a 1.5% surge inside the final 24 hours. This pales compared to Ethereum’s (ETH) 5% positive factors inside the identical time-frame.
Featured picture from DALL-E, chart from TradingView.com
