XRP: Surpassing $1.5 Opens the Door to $2...Will the 420% Surge Myth Re-emerge?

▲ XRP

Market attention is focused on whether XRP can recover to $2 again in 2026. XRP has been stuck between $1.30 and $1.50 for the past several weeks, repeatedly failing to break through the $1.50 resistance level and thus failing to gain upward momentum.

24/7 Wall Street reported on May 21 (local time) that when XRP surpassed $2 in the past, it was simultaneously driven by individual investor demand, a Bitcoin (Bitcoin, BTC)-led rally, and a rapid shift of funds to altcoins. XRP traded mostly between $0.50 and $0.60 for most of 2024, but surged 420% in November to reach $2.63, closing the year at $2.07.

The second upward trend appeared in 2025. As Ripple (Ripple) finalized its lawsuit with the U.S. Securities and Exchange Commission with a reduced penalty of $50 million and institutions applied for XRP ETFs, XRP recorded a cycle high of $3.65 in July. 24/7 Wall Street pointed out that XRP is not an asset that rises slowly, but rather shows a pattern of sharp surges after long periods of consolidation when conditions are right.

The current situation is different from past bull markets. XRP is currently trading at $1.37, having fallen 6.4% in the past week and 25.5% since the beginning of the year. Attempts to break above $1.50 in March, April, and May all failed, and with both the 50-day and 200-day moving averages above the current price, it is assessed that selling pressure still dominates the medium-term trend.

Institutional fund flows were also presented as a burden. Goldman Sachs (Goldman Sachs) fully divested its XRP ETF holdings in the first quarter. While it liquidated positions that had grown to $154 million in the previous quarter, it maintained approximately $700 million in Bitcoin ETF holdings. Goldman Sachs injected new capital into Circle (Circle), Galaxy Digital (Galaxy Digital), and Coinbase (Coinbase) to maintain crypto exposure but showed caution towards altcoin ETFs.

Potential catalysts for an uptrend also remain. The U.S. cryptocurrency market structure bill passed the Senate Banking Committee on May 14 and now requires 60 votes in the full Senate, House coordination, and the President's signature. Standard Chartered (Standard Chartered) estimated that $4 billion to $8 billion in additional funds could flow into XRP ETFs if the bill passes. On May 11, the XRP spot ETF attracted $25.8 million in a single day, marking its largest daily inflow since January, bringing its cumulative inflows to $1.39 billion.

24/7 Wall Street analyzed that for XRP to target $2 again, it must decisively break above $1.50. If XRP closes cleanly above $1.50, the possibility of a rise towards $1.80 opens up, and then the $2 target could come back into sight. Conversely, a warning was also issued that if $1.30 breaks, buying pressure could recede, pushing it down to $1.29 and then to $1.

XRP's recovery to $2 has significance beyond a simple price rebound. When XRP regained $2 in January 2026, its trading volume surged 190% to $4.27 billion, and XRP surpassed BNB to become the third-largest cryptocurrency by market capitalization. 24/7 Wall Street stated that if XRP maintains $2, it could signal that institutional funds are shifting not only to Bitcoin but also back to utility altcoins.

*Disclaimer: This article is for investment reference only, and we are not responsible for any investment losses based on it. The content should be interpreted for informational purposes only.*