XRP’s Bullish Surge Faces Potential 85% Correction: Analysts Weigh Conflicting Scenarios

As XRP defies bearish warnings and trades at $2.22, analysts present diverging outlooks—from a rally to new all-time highs followed by a steep drop, to a scenario where the current bull run marks the final wave of a smaller cycle.

Analyst Warns of Potential 85% XRP Price Drop Amid Bullish Momentum

XRP trades at $2.22, defying bearish warnings as analysts chart conflicting scenarios for its trajectory. The yellow scenario—deemed more likely—envisions a rally toward new all-time highs before a steep correction to $0.40-$0.50, echoing historical patterns from its 2013 lows.

An alternative white scenario suggests the current bull run originated in 2020, positioning XRP in the final wave of a smaller cycle. Market watchers scrutinize these diverging forecasts while the token holds green territory, balancing Optimism against technical warnings.

XRP Soared 126% After Garlinghouse-Trump Rumors, Will Larsen’s SEC Meeting Do the Same on May 2?

XRP surged past $1 in November 2024 amid speculation of a meeting between Ripple CEO Brad Garlinghouse and President-elect Donald Trump. The token rallied 126% in a week, peaking at $2.91 before the confirmed January 2025 meeting.

Market attention now turns to Ripple co-founder Chris Larsen’s scheduled May 2 discussion with SEC Chair Paul Atkins. Investors anticipate potential regulatory clarity could trigger another price surge, mirroring November’s speculative frenzy.

Ripple Moves 500 Million XRP Worth $1.1 Billion, What’s Next?

Ripple has once again captured the attention of the cryptocurrency market with a massive transfer of 500 million XRP, valued at approximately $1.1 billion. The movement, tracked by Whale Alert, occurred on May 1 and involved internal wallet shuffling rather than external sales. This activity is part of Ripple’s routine escrow unlocks, a mechanism designed to manage XRP’s supply dynamics.

Of the 1 billion XRP unlocked, Ripple promptly relocked 700 million tokens across multiple transactions—500 million, followed by 170 million and 30 million. This strategic relocking alleviated concerns about potential market dumping, reinforcing Ripple’s measured approach to liquidity management.

The transaction coincides with reports that Ripple is exploring a $4–5 billion acquisition of Circle, the issuer of USDC. Such a move could significantly reshape the stablecoin landscape and further integrate Ripple into the broader financial ecosystem.

XRP’s Bullish Turn: Charting a Course Towards Mainstream Adoption

XRP, Ripple’s native token, has staged a remarkable resurgence, surging nearly 480% over the past year and reclaiming its position as the fourth-largest cryptocurrency by market cap. This rebound is not merely speculative—it’s fueled by a confluence of pivotal developments that could redefine XRP’s role in the digital asset ecosystem.

Regulatory clarity has emerged as a key driver. The resolution of Ripple’s prolonged legal battle with the U.S. Securities and Exchange Commission (SEC) has removed a significant overhang, attracting institutional investors back to the asset with renewed confidence. The settlement marks a turning point, paving the way for broader adoption and integration into traditional finance.

Market participants are now watching closely as XRP’s momentum builds. Its resurgence underscores the cryptocurrency market’s capacity for reinvention, with XRP emerging as a case study in resilience amid regulatory challenges.

Ripple Executes Major XRP Transfers Amid Monthly Unlock Cycle

Ripple has executed a series of high-volume XRP transactions, transferring approximately 500 million tokens between internal wallets in a matter of minutes. The movements, valued at roughly $1.1 billion, coincided with the firm’s scheduled monthly unlock of 1 billion XRP from escrow.

While the transfers were internal, the crypto community scrutinized the activity as part of Ripple’s predictable yet strategically timed liquidity management. A portion of the unlocked supply was subsequently relocked, reflecting the company’s measured approach to circulating its reserves.

Market observers note these maneuvers occur against a backdrop of heightened institutional interest in digital assets, with XRP’s on-chain activity often serving as a bellwether for broader market sentiment.

Ripple’s $20B Bid for Circle Sparks Speculation Amid Social Media Frenzy

Rumors of a $20 billion acquisition offer from Ripple to Circle have ignited social media, following earlier reports that Circle declined a $5 billion bid. The claims originated from a viral post by X user "Crypto Barbie," who asserted Ripple CEO Brad Garlinghouse increased the offer significantly. No official confirmation has been provided by either company.

The speculation centers on USDC issuer Circle, a key player in stablecoin markets. Market observers note such a deal could reshape the crypto payments landscape, given Ripple’s focus on cross-border transactions and Circle’s stablecoin dominance. The unverified claims have already stirred discussions among XRP supporters.