Can XRP Price Retest ATH as CME Futures and Ripple ETF Inflows Jump

XRP price has rebounded above the important resistance level at $2.5, and numerous catalysts may push it to a record high in the coming weeks or days. It has jumped by 93% from its lowest level this month, bringing its market capitalization to $158 billion, making it the fourth biggest coin in crypto.

XRP CME Futures Are Booming

One potential catalyst for the XRP price is the robust demand from American institutional investors.

One indication of this is that the CME Futures contracts, launched in May, have continued to surge. According to CME, the notional volume since the launch crossed the key milestone of $26.9 billion.

The average daily volume was over $213 million, while the number of traded futures soared to 567k. This makes it one of the most actively traded products this year, a trend that may continue over time.

XRP’s open interest on centralized exchanges like Binance, BitMex, and Bybit has also continued to rise after crashing earlier this month. The open interest rose to $4.57 billion on Tuesday, up from this month’s low of $3.49 billion.

Open interest is one of the most widely used metrics to gauge demand and liquidity for a cryptocurrency. A higher figure, combined with that in the spot market, suggests that more people are participating in a particular market.

XRP ETF Demand is Robust

Another potential catalyst that could push the XRP price higher is the exchange-traded funds (ETF) market.

Data on its website shows that the recently-launched REX-Osprey XRP ETF has already gained over $108 million in assets.

These are huge numbers for a coin that was launched in September and whose expense ratio is 0.75%, higher than most Bitcoin and Ethereum funds. Data compiled by ETF.com shows that the fund has never had outflows since its launch.

The other XRP ETFs are also performing well as investors continue to pile in. For example, the Teucrium 2x XRP ETF has accumulated over $411 million in assets since its launch. This is a significant milestone for a fund with an expense ratio of 1.89%.

Therefore, the cheaper XRP ETFs by companies like Bitwise, Canary, Franklin Templeton and Invesco will likely attract substantial inflows.

For example, spot Bitcoin ETFs have accumulated over $155 billion in assets, equivalent to 6.8% of the total assets. Ethereum ETFs have $28 billion in assets, which is equal to 5.69% of its market capitalization.

Based on XRP’s market capitalization of $160 billion, a 5% market cap would bring the funds market capitalization to $8 billion.

Ripple USD Stablecoin Growth

Meanwhile, Ripple is becoming a major player in the stablecoin industry, which is expected to boom following Donald Trump’s signing of the GENIUS Bill into law.

The RLUSD stablecoin has already surpassed the $900 million market capitalization, and there are indications that it will soon reach the $1 billion level. This growth will also accelerate after Ripple Labs concluded the acquisition of Hidden Road, which has now become Ripple Prime.

Soaring RLUSD activity is notable because it leads to more activity in the XRP Ledger and lead to a higher burn rate.

XRP Price Technical Analysis

The weekly chart shows that the XRP price has rebounded in the past few weeks and this rebound may continue, potentially to the all-time high.

One reason for this is the token formed a hammer candlestick pattern, which is characterized by a long lower shadow and a small body. This pattern normally leads to a bullish reversal over time.

The coin also remained above the 50-week and 100-week Exponential Moving Averages, a sign that bulls remain in control. It is also slightly above the Strong pivot reverse point of the Murrey Math Lines tool.

Therefore, the token will likely continue rising as bulls target the all-time high of $3.5156, which coincides with the overshoot level of the Murrey Math Lines tool.