With the SEC restructuring its crypto enforcement unit and bullish on-chain metrics emerging, analysts are divided on whether XRP could see an imminent price rally. Some experts predict a potential surge of 18% in the short term, with XRP reaching $2.80, while others set more ambitious targets suggesting XRP could climb to $8 if key support levels hold.
SEC Shake-Up Sparks Optimism
The U.S. Securities and Exchange Commission reportedly transferred the majority of the crypto enforcement team into other departments, drastically cutting down on regulatory crackdowns. According to The New York Times, over 50 staff have been reassigned in the interest of other groups, though the SEC would not comment on the story. A reshuffle that could be interpreted as a softer stance toward digital assets is possible.
Ripple CTO Stuart Alderoty expressed optimism after meeting with SEC crypto task force lead Commissioner Hester Peirce. Stuart Alderoty via X
Ripple’s Chief Legal Officer, Stuart Alderoty, expressed optimism following a recent meeting with SEC Commissioner Hester Peirce. “Regulatory clarity is long overdue, and these developments could mark the beginning of a more constructive dialogue with the industry,” Alderoty stated.
Hon Ng, Chief Legal Officer at Bitget, also weighed in on the matter. Speaking to FXStreet, he remarked, “This shift presents an opportunity for the SEC to reclaim its influential role in shaping global standards for digital asset regulation. While an immediate overhaul is unlikely, this could pave the way for a more transparent regulatory framework.”
Watch – XRP Technical Analysis
On-Chain Metrics Signal Potential Rebound
Despite a 25% drop in the past week, the XRP price has maintained its position above the psychologically significant $2 level. Santiment data indicates that traders realized approximately $124.92 million in losses on February 5, often a sign that selling pressure could be easing.
XRP traders incurred around $124.92 million in losses on February 5, hinting at fading selling pressure. Source: Santiment
Furthermore, daily active addresses remain higher than the 2024 average, and the number of XRP holders continues to trend upward. Such metrics suggest strong network engagement, which could support a recovery if broader market conditions improve.
Analysts Eye Key Price Levels
Technical analysts have identified crucial support and resistance levels that could determine XRP’s next move. ProjectSyndicate, a crypto analyst, predicts a 40% upside, provided XRP holds above $2. He noted, “The current pullback is a healthy correction. If XRP stabilizes at $2, a rebound toward $2.80 is likely.”
Ripple’s XRP price could rebound to the immediate key resistance at $2.80. Source: Dikuno on TradingView
Meanwhile, another expert, ColdBloodedCharter, pointed out that XRP has entered an accumulation phase. He cited $2.50, $2.25-$2.30, and $1.90-$2 as ideal “buy-the-dip” levels. “Buying at these levels presents a strong risk-reward ratio,” he explained.
XRP’s Path to $8?
Some market analysts are even more bullish, projecting that XRP could climb to $8 if it maintains key support levels. Dark Defender, a widely followed technical analyst, has outlined a five-wave Elliott Wave pattern targeting $5.85 as the next major milestone, with a potential extension toward $8.
XRP consolidates below $3 as it continues its correction, with Wave 5 targeting $8 in the near future. Source: Dark Defender via X
XForceGlobal, another prominent analyst, echoed this sentiment, noting that XRP is nearing the final stage of a corrective phase. He suggested that “a 50% bounce could trigger the completion of the fifth wave, leading to a substantial breakout.”
Macroeconomic and Legal Factors at Play
Beyond technical indications, the movement of the price of XRP partly reflects any regulatory development. The most crucial outstanding situation in this regard has to do with the ongoing case between the Commission and Ripple, with the reassignment of key SEC personnel, including Jorge Tenreiro, who is a lead litigator in the case, creating speculations on settlement.
In addition, the possible approval of an XRP exchange-traded fund (ETF) could be a major catalyst. If approved, such a product could significantly boost institutional interest and drive demand.
Meanwhile, Ripple CEO Brad Garlinghouse has reportedly vaulted to the leading spot among candidates vying for an advisory role on the White House Crypto Council, as cited by the New York Post. This sudden rise to the top underscores Ripple’s increasing clout in shaping U.S. policy around digital assets—an influence that could have lasting repercussions on how these technologies get regulated and adopted nationwide. It’s huge news for Ripple and very bullish for XRP. Garlinghouse might yet be able to influence XRP’s inclusion in an American Digital Asset Stockpile.
Garlinghouse’s recent appearance alongside President Trump at Mar-a-Lago set tongues wagging, fueling talk that he might have a future post in the new administration. It’s not just idle speculation: top crypto donors and industry heavyweights are locked in a no-holds-barred contest for a seat on Trump’s freshly minted crypto advisory board.
This new council was formed by President Trump via executive order during his initial week in office, aimed at advancing the nation’s leadership in cryptocurrencies and blockchain development. Members of this task force will collaborate closely with AI & Crypto Czar David Sacks to formulate policies and lay down clear regulations for the digital economy—an imperative step if the U.S. hopes to stay ahead of global competition in what many consider the next era of finance.
Looking Forward: Short-Term Volatility, Long-Term Optimism
At the time of writing, XRP is trading at $2.3482, down nearly 3% on the day. While short-term price action remains choppy, market analysts suggest that key support levels and shifting regulatory dynamics could set the stage for a strong recovery.
Ripple’s XRP was trading at $2.41, up 0.3% in the last 24 hours at press time. Source: XRP Liquid Index (XRPLX) via Brave New Coin
For investors, the coming weeks will be crucial. Whether XRP follows through on its bullish technical setups or faces further downward pressure will largely depend on broader market sentiment, legal developments, and macroeconomic conditions. Regardless, with renewed institutional interest and regulatory clarity on the horizon, XRP’s long-term outlook remains promising.
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