Amid the ongoing bearish trend impacting XRP, experts believe the token could reach a new all-time high of $5 by next year.
The asset currently trades at $2.17, down 10.97% over the past month and 9.21% over the past week. Major cryptocurrencies like Bitcoin, Ethereum, and Cardano have also recorded significant losses in the same period.
Despite the broader downturn, XRP remains one of only three top-10 cryptocurrencies still in positive territory year-to-date. Although its YTD growth is now modest at 4.6%, the token maintains a substantial yearly upside of 92%.
XRP to Hit $5 in 2026?
Meanwhile, last year, optimism was high, with many projections calling for XRP to reach ambitious targets, such as $5 by the end of 2025. However, with just six weeks left in the year and the market under sustained pressure, XRP remains trapped in the $2 range.
Now, commentators have shifted the timeline to next year. For instance, an X user predicted that XRP would hit $5 by 2026, assuming “everything goes well.”
From its current price, XRP would need to rally 131.41% to reach the $5 target. This surge would lift its market cap to over $300 billion.
4 Factors That Could Push XRP to $5
Multiple factors support the price outlook. For context, XRP’s November 2024 breakout was triggered by the resolution of the SEC v. Ripple lawsuit.
For five years, that case cast a shadow over XRP’s prospects, discouraging institutional interest and limiting broader adoption. As the lawsuit ended, XRP jumped to $3.65 before sliding back to $2.17 amid the market-wide downturn.
With the legal uncertainty finally behind it, several other catalysts could help pave the way for the next wave of XRP’s rally, potentially pushing it toward the $5 milestone in the coming year.
ETF Inflows
The broader crypto market has already witnessed how Bitcoin reacted to strong inflows into its spot ETFs. A similar scenario could unfold for XRP.
Earlier this month, the first U.S. spot XRP ETF officially launched on Nasdaq, led by Canary Capital. According to SoSoValue data, the fund has already recorded net inflows of $276 million.
More spot XRP ETFs from issuers such as Franklin Templeton and 21Shares will debut later this month, potentially boosting cumulative inflows. Given how ETF demand helped fuel Bitcoin’s rally earlier this year, XRP could experience a comparable trajectory if inflows accelerate.
XRP Treasury Efforts
Corporate adoption is also emerging as a potential catalyst for XRP. Several publicly traded companies, including VivoPower, Webus, Wellgistics Health, and Worksport, have announced plans to establish or expand their XRP treasury holdings.
In addition, Ripple recently joined a joint venture with SBI, Kraken, and other firms to create a $1 billion XRP treasury, the largest corporate XRP treasury to date.
As more companies accumulate XRP for their reserves, the circulating supply on the open market could decline significantly. This reduction in available tokens may ease selling pressure and help drive the asset’s price higher over time.
Institutional Adoption of Ripple’s Payment Solution
Ripple remains a leading provider of cross-border payment infrastructure, with XRP serving as one of its core bridge assets. Financial institutions such as Tranglo and SBI have already integrated Ripple’s technology for cross-border settlements, and further adoption is expected.
As Ripple’s payment solutions gain traction, institutional interest in XRP could strengthen accordingly.
Favorable Crypto Market Outlook
Although the crypto market has struggled in recent weeks, many analysts anticipate a shift in momentum. JPMorgan recently forecast that Bitcoin could reach $170,000 next year—a move that could ignite a broader market-wide bull run.
Historically, assets like XRP have followed Bitcoin’s trajectory during such rallies, suggesting the token may benefit from any renewed bullish sentiment.
While these catalysts could help propel XRP toward $5 next year, it is important to note that external macroeconomic pressures could still undermine upward momentum, as seen earlier this year.
DisClamier: This content is informational and should not be considered financial advice. The views expressed in this article may include the author's personal opinions and do not reflect The Crypto Basic opinion. Readers are encouraged to do thorough research before making any investment decisions. The Crypto Basic is not responsible for any financial losses.
