Is $3.30 Within Reach? XRP Set to Shine with Upcoming Stablecoin and ETF Approval

Ripple's Stablecoin Approval on the Horizon

Reports say that the New York Department of Financial Services (NYDFS) might approve Ripple Labs' new stablecoin, called RLUSD, around December 4, 2024. This approval would help Ripple enter the regulated U.S. cryptocurrency market and offer RLUSD through a licensed company.

The news has already boosted Ripple's native token, XRP, by nearly 30%, increasing its value from $1.45 to $1.88. This approval comes as Ripple continues to face legal issues with the SEC, which has labeled XRP as an unregistered security.

Ripple has also partnered with major exchanges like Bitstamp and MoonPay to promote RLUSD. The company plans for RLUSD to be a stable currency for users and improve cross-border payments, with regular audits to ensure transparency and build trust. Overall, the approval could greatly influence Ripple's future and the cryptocurrency market as a whole.

Potential for XRP ETFs in 2025

Bitwise analysts believe that an XRP exchange-traded fund (ETF) could be approved by the SEC in 2025 due to rising interest from retail investors and potential regulatory changes. Several firms, including Bitwise and WisdomTree, have applied for XRP ETFs, despite ongoing legal challenges for Ripple. The outcome of the upcoming U.S. presidential election could also influence the SEC’s approach to cryptocurrency regulation. Overall, positive market sentiment and increased demand make the future look promising for an XRP ETF.

Recent Whale activity-

In the past week, whale activity surrounding XRP has surged alongside a significant increase in its price. A report revealed a major transfer of nearly 18.81 million XRP, worth about $25 million, from Binance to an unknown wallet, suggesting long-term holding by confident investors. Analysts also noted increased whale-to-exchange transactions, indicating that some large holders are taking profits as XRP reached around $2.3. Despite this, whales continue to accumulate XRP, raising their holdings by over 700 million tokens in the last month, showing strong belief in its future potential.

Since November 13, the amount of XRP held on exchanges has dropped by more than 500 million XRP. This big decrease shows a change in the market, with more large investors, often called whales, buying XRP. As these whales buy more, it creates a stronger demand for the asset.

Technical Indicator

XRPUSD retraces slightly after a massive jump of nearly 100% the previous week. It hit a high of $2.50 and is currently trading around $2.23.Any daily close below $1.60 would confirm a further minor bearish trend. The pair is trading above both short-term (34 EMA and 55 EMA) and long-term moving averages (200-day EMA) on the 4-hour chart.

Resistance and Support Levels

The immediate resistance is around $2.50; a breach above this level could propel the pair to $3/$3.30. Any breach above $3.30 confirms major bullish continuation, making a jump to $5 possible. On the downside, immediate support is at 2, with potential declines targeting $1.60/$1.27/1/1/0.85/0.74/0.74/0.6800/$0.6300.

Market Indicators Point to Bullish Sentiment

• Directional Movement Index: Bullish
• CCI (50): Bullish

It may be a good strategy to buy on dips around $2, with a stop loss set at $1.60 and a target profit of $3.30.