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Here’s What 3,000 and 7,000 XRP Could Be Worth If SWIFT Corridors Migrate to RippleNet

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What could be the impact on XRP price if SWIFT corridors migrated to RippleNet, Ripple’s XRPL-based payment network?

Over the past few years, XRP proponents and industry leaders have discussed whether XRP might eventually work with SWIFT or even replace the network.

Could XRP Work with SWIFT?

For instance, in 2015, Ripple Chairman Chris Larsen told Global Finance Magazine that Ripple connects payment networks for real-time settlement in any currency and can work alongside existing systems like SWIFT or ACH. 

Ripple Chairman on X
Ripple Chairman on X

Moreover, earlier this year, Ripple CEO Brad Garlinghouse said XRP could capture 14% of SWIFT’s volume within 5 years. 

Notably, these comments have led to an assessment of how XRP price could react if SWIFT corridors, which facilitate the network’s payments, moved to RippleNet.

SWIFT Corridors

For context, SWIFT corridors represent direct payment routes between financial institutions in different countries and currencies across the SWIFT network. SWIFT currently runs about 40,000 of these routes, covering more than 150 currencies and more than 200 countries and territories.

Recent data shows the existence of about 40,000 total corridors in 2024. These corridors handle about $150 trillion in cross-border value each year, equal to about 1.5x global GDP. In addition, the network processes more than 47 million daily messages as of mid-2025. 

Notably, about 60% of wholesale payments arrive in destination accounts within 1 hour after a SWIFT message goes out. The most used currencies include USD at 50% of total value, EUR at 23%, and CNY at less than 4% as of early 2025. 

Meanwhile, SWIFT has also continued to expand of late. Daily messages rose from about 32 million in 2015 to more than 47 million in mid-2025. In addition, annual value is projected to reach $125 trillion in 2025, which marks 4% annual growth. The network now moves an amount equal to global GDP roughly every 3 days. SWIFT also announced ISO 20022 migration in November 2025. 

XRP Price if SWIFT Corridors Migrated to RippleNet

Considering this scale, we recently assessed how the crypto asset might react if SWIFT corridors eventually migrate to RippleNet, with XRP trading at $2.04 at the time of analysis. To get an overview, we turned to Google Gemini.

Gemini modeled what would happen if RippleNet handled the entire $150 trillion in annual flows. It explained that such a model must consider both transaction utility and the liquidity depth institutions require to avoid heavy price swings. In other words, the asset must hold enough market value to settle global payments without severe volatility.

According to Gemini, $1150 trillion in volume per year equals about $410.9 billion per day. Meanwhile, analysts often apply a “liquidity multiplier” in these calculations. 

In ordinary utility systems, fast settlement allows lower prices because the asset moves many times per day. However, in institutional systems, deep liquidity matters. Traditional FX markets often hold market values 10x–20x daily volume. As a result, Gemini used a 15x multiplier.

XRP Price Prediction Google Gemini
XRP Price Prediction | Google Gemini

A $410.9 billion daily requirement multiplied by 15 produces a hypothetical market cap of $6.16 trillion. With a circulating supply of 60.25 billion XRP, this model places the token at around $102.24.

Meanwhile, a more bullish outlook considers global reserves and derivatives. If XRP captured 10% of the global derivatives market, which exceeds $1 quadrillion, or matched gold’s $13 trillion market cap, the model places XRP at about $215.76.

Here’s What 3,000 and 7,000 XRP Could be Worth

This shows how much retail holders could gain if this extreme scenario plays out, especially for those holding 3,000 to 7,000 XRP. At current prices, 3,000 XRP worth $6,120 could jump to $300,000 to $645,000. This increase would give the holder profits of $293,880–$638,880. 

Meanwhile, investors with 7,000 XRP, currently valued at $14,280, could see their holdings climb to $700,000 to $1.505 million, creating profits of $685,720 to $1.49 million. 

However, these projections rely on XRP capturing 100% of SWIFT’s volume and assume institutions would hold XRP instead of buying and using it within seconds. 

This scenario remains unlikely, especially since SWIFT continues to explore blockchain options such as a SWIFT-issued blockchain while ignoring the XRPL. These projections also do not factor in competition from CBDCs and private stablecoins, which now pursue similar settlement goals.

After ETFs Here’s How High XRP Could Do if XRP Do Multiple Times Better Than Bitcoin

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Analyst Chad Steingraber believes XRP is on the verge of a breakout that could outperform Bitcoin’s post-ETF performance by several multiples.

In a recent analysis, Steingraber pointed out that Bitcoin also struggled immediately after its spot ETFs launched in January 2024, dipping before beginning one of its strongest rallies in history.

Looking at Bitcoin’s History

Historical data confirms that Bitcoin fell from around $48,000 to $38,500 on the day the SEC approved ETFs. The price action remained subdued for a few weeks around the $40,000 level. By February 2024, Bitcoin had reached a historic price of $63,900 — the first instance since the 2021 peak.

The momentum continued into the next month. In March 2024, Bitcoin rose above $73,700, marking an all-time high at the time due to massive institutional inflows. This performance was particularly remarkable as BTC reached a new peak before the April 2024 halving.

The bull momentum carried Bitcoin to $100,000 by the end of 2024, though periodic corrections occurred. From the January 2024 low of $38,500 to the $108,268 peak by December, Bitcoin staged roughly a 3X surge.

Meanwhile, Steingraber argues that XRP has the potential to outperform this trajectory. If XRP is able to surge 5x after ETFs, outperforming the 3X bitcoin surge after ETFs, then XRP would trade around $10.

Why Steingraber Expects XRP to Outshine Bitcoin

According to his assessment, the current negativity surrounding XRP’s price is almost identical to Bitcoin’s mood after its ETF approval. XRP ETFs launched in November 2025, and the market response has so far been disappointing. Over the last 30 days, XRP is down 16%, and over the past eight weeks, it has lost 22%.

XRP price chart
XRP price chart

Despite the bearish charts, institutional appetite tells a different story. XRP ETFs have now recorded consistent inflows, reaching $976 million, just shy of the $1 billion milestone.

Steingraber believes these inflows are laying the foundation for a dramatic turnaround, similar to Bitcoin’s V-shaped recovery in early 2024. In his words, XRP will “do multiple times better than this.”

Price Action Still Lagging, But Momentum Is Building

Since the ETFs went live, XRP has dropped from $2.50 to a low of $1.80. It has recovered slightly and currently trades around $2.04. For many investors, the question has been why nearly $1 billion in inflows has not translated into immediate upside.

Steingraber’s answer: patience. Bitcoin needed a few weeks to shift from fear to frenzy after its ETF launch. To him, XRP is following the same path, only with greater potential upside once the inflows fully translate into market impact.

Notably, industry leaders like Fabio Marzella have explained that the reason XRP is not currently reflecting ETF inflows is due to issuers’ accumulation via OTC channels. Marzella noted that the price impact will become visible over time, and when the accumulations occur via crypto exchanges.

As long as ETFs source XRP from OTC desks, there will be limited price impact until real scarcity sets in. Interestingly, Steingraber previously projected that ETFs could absorb half of XRP’s supply within a year, potentially triggering a supply shock.

Currently, four XRP ETFs are registering daily inflows: Canary Capital, Bitwise, Grayscale, and Franklin. Soon to join are 21Shares and WisdomTree.

As XRP ETF adoption accelerates and inflows approach the $1 billion mark, analysts like Steingraber believe the market may be underestimating how quickly sentiment and price could shift.

Japan to Raise Interest Rates for First Time in 11 Months: Here’s How Bitcoin Reacted the Last Time

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Economists now agree that the Bank of Japan could raise interest rates this month for the first time in nearly a year, and Bitcoin is bracing for the impact. 

Major financial outlets report that the BOJ plans to lift its benchmark rate by 25 basis points to 0.75% at its December 18-19 meeting.

This move would restart the tightening cycle the bank paused in January 2025 after it pushed rates to 0.50%. Notably, policymakers want to address inflation that continues to sit above the 2% target. In addition to this, the weakening yen has kept import costs high.

Economists Confident of a BOJ Rate Hike

A Reuters poll conducted from Dec. 2 to 9 shows how strongly expectations have changed. Out of 70 economists, 63, or about 90%, expect the BOJ to raise rates to 0.75% this month, up sharply from 53% in the previous survey. In the same poll, 58 respondents say rates will reach at least 1.00% by September 2026. 

Meanwhile, a separate Bloomberg survey published on Dec. 11 shows even stronger confidence, as all 50 economists polled expect the December hike. Most of them, about 81%, point to the yen’s 10-month low against the dollar as the main force behind rising prices.

For the uninitiated, Japan’s currency slump continues to drive cost-push inflation. As of November 2025, inflation remained above the 2% target for forty-three straight months. Sources familiar with the BOJ’s plans said on Dec. 12 that the bank will confirm its intention to continue raising rates after December, while adjusting its pace based on incoming economic data. 

Tokai Tokyo Securities strategist Kazuhiko Sano told Bloomberg that the December hike looks certain. Notably, markets already reflect this view and now focus on where rates eventually settle, likely between 1.00% and 1.25%.

How Did Bitcoin React the Last Time?

Meanwhile, Bitcoin analysts are bracing for a potential impact, especially considering how the premier crypto asset reacted the last time. Specifically, on Jan. 23, when the bank last raised rates, Bitcoin traded around $105,000 after climbing from $89,000 just ten days earlier. 

The hike quickly changed market sentiment, as Bitcoin fell to $95,000 by Feb. 6, found temporary support, then drifted lower for the next several weeks. Sellers returned in late February, and despite a few rebounds, Bitcoin kept slipping until it reached $74,434 on April 7, 2025. 

Bitcoin Price Drop After Japan Interest Rate Hike
Bitcoin Price Drop After Japan Interest Rate Hike

For perspective, the drop from $105,000 to $74,434 marked a 29% decline in under four months. With Bitcoin now near $92,426, a similar move would drag the price toward $65,622, a level last seen in October 2024 before the rally that followed Donald Trump’s election win.

Bitcoin Analysts Expect Impact

Analysts have continued to warn that another BOJ hike could trigger similar pressure. Earlier this month, market watcher BitBull said the BOJ’s rate moves often align with major Bitcoin turning points. 

He said the March 2024 hike marked a local top, the July 2024 hike drove Bitcoin below $50,000, and the January 2025 increase again aligned with a top. Now, he expects a decline similar to July 2024, possibly sending Bitcoin briefly below $80,000 before a rebound toward $100,000.

Crypto Rover also warned that a BOJ hike combined with a Federal Reserve rate cut could narrow the U.S.-Japan rate gap. He said a stronger yen and weaker dollar make yen-funded positions more expensive, which forces investors to unwind and sell risk assets.

According to him, the last time the yen carry trade unwound, Bitcoin hit a major low as global liquidity tightened. Interestingly, the Fed already cut interest rates by 25-bps to a range of 3.50% to 3.75%.

Twenty One Capital CEO Jack Mallers Says Bitcoin Will be a $200 Trillion Asset

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Jack Mallers, the CEO of Twenty One Capital, recently highlighted the growth potential of Bitcoin, calling it a $200 trillion asset.

Twenty One Capital debuted on the New York Stock Exchange (NYSE) on December 9 with a $3.9 billion Bitcoin treasury, holding the third-largest BTC treasury for a public company.

Speaking at theCUBE+NYSE Wired show shortly after ringing the opening bells at the stock exchange, Mallers discussed Bitcoin, its growth potential, and Twenty One Capital’s different strategy compared to other BTC-focused firms.

The Bitcoin Compound Effect

Notably, Mallers stated that Bitcoin has proven to be an asset with rapid growth quality. Specifically, he noted that the crypto has compounded the portfolios of holders over the past five to ten years, increasing at a 50% annual rate.

He further highlighted the coin’s future growth trajectory. Currently around $2 trillion, he underscored that Bitcoin could expand to a $20 trillion to $200 trillion ecosystem in the near future.

Remarkably, he based this projection on the view that Bitcoin would become the world’s next reserve asset. Mallers noted that the global financial space has to “recollateralize itself against something,” and it doesn’t look like it will be the traditional treasuries and government debt.

For perspective, if Bitcoin grows to become a $200 trillion asset, its price will shift drastically from its current levels. Suppose 20 million tokens are in circulation when the 100x growth occurs; BTC would trade at $10 million per coin. From the current price of $92,270, this represents a 10,737% increase.

Mallers is not the only one with this bullish outlook. Industry leaders like Chainlink founder Sergey Nazarov and JAN3 CEO Samson Mow have also predicted that Bitcoin would one day attain this price level.

The Need for Bitcoin-Backed Products and Financial Services

Despite this promising growth trajectory, Mallers says he is “shocked” that there are no fundamental services for Bitcoin. He highlighted that investors want to build a liquidity event with their BTC holdings without selling them, but there is no such product in the market.

This is the void Twenty One Capital wants to fill, the CEO noted. The firm intends to build products and financial services, starting with the credit lending space. He said that in collaboration with Tether, they are bringing a whole lot of expertise to this market, and the rollouts would come “sooner than later.”

Mallers also clarified that Twenty One Capital is not a mini-Strategy, focused solely on accumulating without building products. According to him, they are more like Coinbase, but with a stronger focus on Bitcoin services.

Ethereum Price Forecast for Dec 12: ETH Needs to Stay Above This SMA Level

Ethereum must stay above the key SMA level to maintain bullish momentum, with mixed futures flows indicating volatility.

Ethereum (ETH) has seen a 1.2% increase in the last 24 hours, pushing its price to $3,235.25. Notably, the price fluctuated between $3,160.13 and $3,267.70 during this period. 

Over the past week, Ethereum has shown a 3.5% increase, while its 14-day performance shows a modest rise of 5.7%. However, the 30-day performance remains down 7.0%.

Despite the short-term gains, the market is showing signs of exhaustion, with bulls struggling to maintain control. Unless stronger momentum steps in, Ethereum may risk rolling back into its previous range.

The market cap stands at $390.38 billion, and the 24-hour trading volume of $24.5 billion indicates solid activity, but Ethereum is at a critical juncture. The next few days will determine whether Ethereum can break free from its current range or if it will experience a reversal.

Ethereum’s Key Support and Resistance Levels

Per technical charts, Ethereum’s price is hovering just above the 9-day Simple Moving Average (SMA) of $3,166.96, indicating that Ethereum is attempting to maintain its recent bullish momentum. The second-largest crypto is testing the upper part of its range, and its ability to hold above the SMA level could signal further upward movement.

ETHUSD 1-Day Chart
ETHUSD 1-Day Chart

The Relative Strength Index (RSI) is currently at 53.88, suggesting that Ethereum is neither overbought nor oversold, providing room for potential price action in either direction.

With the RSI hovering just above the neutral 50 mark, Ethereum appears to be in a consolidation phase, waiting for further momentum. If the RSI continues to move higher, it could signal that Ethereum is gearing up for a breakout, potentially targeting the next resistance zone.

The MACD (Moving Average Convergence Divergence) indicator also shows a positive value of 53.36, with the MACD line above the signal line, suggesting bullish momentum. The histogram is also in the positive, showing a growing buying interest. 

This, combined with the RSI’s neutral reading and the price’s position above the SMA, points to a potential upward move if Ethereum can break through its immediate resistance levels like $3,600. However, if the price falls back below the 9-day SMA, it could indicate a retreat toward lower support levels.

Ethereum Facing Futures Outflows

On the flip side, futures flows data for Ethereum shows a mixed trend across different time frames, indicating heightened volatility in the market. In the last 30 minutes, Ethereum experienced a small net outflow of $7.69M, with inflows of $104.82M and outflows of $112.51M, resulting in a negative change of 143.39%.

However, the 1-hour data shows a more positive outlook, with a net inflow of $10.03M, a 107.52% increase, signaling renewed buying interest.

Ethereum Futures
Ethereum Futures

Looking at the longer time frames, the 4-hour, 8-hour, and 12-hour data indicate a more bearish sentiment. Over the 4-hour period, Ethereum saw a net outflow of $172.98M (down 490.57%), and the 8-hour period also saw a similar decline with a net outflow of $194.23M (down 474.25%). 

The 12-hour period showed a slight improvement with a net inflow of $5.18M. The 24-hour data reveal a net outflow of $709.40M, and the 3-day data shows a larger outflow of $1.55B.

Binance Secures AML Regulation in Pakistan, Moves Close to Becoming Fully Compliant

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Binance has achieved a major regulatory milestone in Pakistan, advancing its efforts to establish a fully compliant and secure foothold in the country. 

According to the announcement, the exchange secured an Anti-Money Laundering (AML) registration under the Pakistan Virtual Assets Regulatory Authority (PVARA) framework. This registration marks an initial, but critical, step toward obtaining full Virtual Asset Service Provider (VASP) licensing and eventual local incorporation.

Under this phased approach, the Pakistani government will permit Binance to offer AML-registered cross-border services. At the same time, the exchange will ensure that its operations align with Pakistan’s long-term regulatory roadmap for digital assets. This comes a few months after Pakistan’s digital asset regulator invited crypto entities to apply for licenses in the country. 

Binance Strategic Meetings with Pakistani Officials 

Notably, the development comes after a series of strategic meetings between Binance’s leadership and Pakistani government officials. Binance Co-CEO Richard Teng led ongoing engagements with policymakers to advance discussions on strengthening the country’s digital-asset framework. 

Pakistan’s Ministry of Finance previously shared insights into some of these meetings, including a December 5 update confirming that Binance officials met with State Bank leaders.

The discussions centered on several initiatives, such as using blockchain technology to reduce costs, exploring ways to formalize citizen-held digital assets, and developing local Web3 talent. At the time, Binance founder Changpeng Zhao (CZ) praised Pakistan for its fast pace in the crypto sector.  

Following these engagements, Binance has secured AML registration in Pakistan after receiving a No Objection Certificate (NOC) from the Ministry of Finance. The ministry granted a similar certificate to the HTX exchange.

Meanwhile, images of Binance co-founder Changpeng Zhao (CZ) and HTX founder Justin Sun meeting with Pakistani officials have been circulating widely online. 

Binance CZ and Tron Justin Sun with Pakistani officials
Binance CZ and Tron Justin Sun with Pakistani officials

Binance’s CZ Reacts 

Reacting to the latest development, CZ highlighted the regulatory milestone and stressed that Binance is only just getting started in the country. Before securing the license, Binance had already been strengthening its ties with Pakistan. 

As part of this effort, CZ joined the country’s official crypto council as a strategic adviser. Following his appointment, he announced plans to expand Binance’s Giggle Academy initiative to reach 20 million out-of-school children across Pakistan. 

Here’s XRP Price Scenario if Ripple Secures a Banking License

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U.S. lawmakers continue to work on the Clarity Act, and the conversation around whether Ripple would have to divest its XRP holdings has gained momentum. 

Notably, most market watchers believe Ripple may need to cut its XRP holdings because the bill sets a strict rule barring anyone tied to a crypto project from holding more than 20% of the total token supply before that asset could qualify as a commodity. 

Would Ripple Divest Its XRP Holdings?

Notably, with over 34 billion XRP tokens in escrow alone, Ripple still controls more than 30% of all XRP. As a result, community commentators expect the company to face major decisions once the bill moves forward.

One such commentator is Brad Kimes from Digital Perspectives. He argued that Ripple must drop its holdings below the 20% mark to meet the bill’s requirements. 

Interestingly, Kimes presented the possibility that Ripple could hand a portion of its XRP to the U.S. government or the White House without receiving anything in return. Notably, such a move could help Ripple meet the threshold without using traditional selling or distribution methods.

Meanwhile, in a subsequent disclosure, Kimes claimed that this issue might disappear entirely if Ripple becomes a bank. Essentially, he believes that a national bank charter would place Ripple under a different rulebook, which could remove any need to cut XRP holdings. 

However, it is important to note that this idea remains speculative and largely unconfirmed. Regulators have not suggested that being a bank would remove the 20% maximum holding threshold from any entity.

Ripple’s Banking License Push

For context, in July 2025, Ripple sent a formal application to the Office of the Comptroller of the Currency to create Ripple National Trust Bank as a brand-new national trust bank. At the same time, the company asked the Federal Reserve for a master account, which would give it direct access to Fed payment systems, including Fedwire and FedNow. 

Ripple aims to use this setup to support 24/7 issuance and redemption of RLUSD while holding reserves directly with the Federal Reserve. This would strengthen its cross-border payment operations by removing the need for outside custodians. At press time, the OCC has neither approved nor denied the application, and the review continues.

XRP Price if Ripple Gets a Banking Charter

Notably, besides the potential waiver suggested by Kimes, this banking charter may also influence XRP’s price action. However, the extent of such an impact remains largely unclear, so we asked Google Gemini for an assessment.

According to Gemini, winning a national trust bank charter, along with direct Fed access, would represent one of the strongest signs of institutional acceptance that any crypto project has ever received.

The AI chatbot said XRP could reach $50 in an extremely bullish situation. It believes this leap would come from several forces working together. According to Gemini, major financial institutions could quickly adopt XRP once regulators clear the uncertainty that has held many firms back. 

XRP Price Prediction Google Gemini
XRP Price Prediction | Google Gemini

It also said Ripple’s On-Demand Liquidity system could start replacing parts of the global Nostro and Vostro account structure. Because of ODL’s connection to XRP, Gemini expects demand to rise sharply. 

It said this type of sudden demand could tighten available liquidity and force the market to reprice XRP to match the scale of international settlement flows. The chatbot added that such a major regulatory breakthrough would likely trigger a wave of enthusiasm from both large investors and retail traders, pushing XRP even higher in the short term.

3,500 XRP Will Make You a Millionaire by 2026, Analyst Criticizes Unrealistic Claims

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Industry commentator Vincent Scott has criticized unrealistic XRP projections, arguing that promoters benefit from the resulting engagement while avoiding accountability.

In a recent X post, Scott called out a growing viral tactic among XRP influencers who attract attention by making sensational predictions. This trend typically involves bold claims suggesting that holding a small amount of XRP could magically turn investors into overnight millionaires.

Scott pointed to one example in which influencers told their followers that simply holding 3,500 XRP could make them millionaires by February 2, 2026.

He emphasized how easily such sensational statements can attract enormous engagement despite having no factual basis.

The Outrageous “3,500 XRP to Millionaire” Prediction

To emphasize his point, Scott noted that if he made such an exaggerated projection, he would likely rack up a million likes, 350,000 new followers, and 10,000 subscribers.

He stressed that this level of engagement would come easily, with no accountability or consequences when the forecast ultimately failed. In his view, the fact that such claims continue to gain traction shows how these tactics can mislead audiences.

Scott went on to highlight the discipline required to avoid resorting to these engagement-driven strategies. Choosing integrity, he said, often leads to slower growth compared with influencers who rely on sensationalism and unrealistic promises.

Bold XRP Predictions Continue to Spread

Indeed, exaggerated XRP forecasts have become common within the community, and many influencers deploy these tactics to drive engagement.

Earlier this year, Bitcoin advocate Pumpius asserted that early XRP investors would soon achieve “generational wealth” that would allow them to retire their entire families. Despite the boldness of these claims, few have publicly questioned their feasibility.

As usual, most of these forecasts fail almost immediately. In September, XRP pundit Kenny Nguyen predicted that many millionaires would be born by October following the approval of multiple spot XRP ETFs.

However, since U.S. spot XRP ETFs began trading in November, the token’s price has fallen sharply from $2.52 to $1.80 before briefly recovering above $2. In other words, XRP’s price remains far from the levels that would make retail holders millionaires.

Notably, the “3,500 XRP to millionaire” prediction highlighted by Scott would require XRP to reach $286 by February 2, 2026 — less than two months from now. That would represent a staggering 14,058% increase from its current price of $2.02.

Without ruling out future possibilities, the aggressive eight-week timeline makes such a price outlook unrealistic.

XRP Price Analysis for Dec 12: Recovery Towards $2.12 Incoming?

XRP shows short-term bullish momentum amid whale accumulation, signaling potential recovery.

XRP has seen a slight 0.6% gain in the last day, currently priced at $2.03. The price has fluctuated between $1.99 and $2.05 during this period, reflecting lower volatility. Notably, XRP is trading at the mid level of this range.

XRP’s 7-day performance shows a 2.5% decline, while the 14-day performance shows a deeper 7.7% fall. Despite the short-term bullish momentum, XRP is facing longer-term challenges. 

The current market cap stands at $122.3 billion, up only 0.58%. Despite recent fluctuations, the market has shown some recovery, as seen in the slight upward movement in the 24-hour price chart.

XRP Price Prediction

Amid the bearish long-term movement, traders will be watching short-term charts to see the next direction as they place their bets. Looking at the daily technical chart from TradingView, XRP is currently trading within a narrow range, with the price hovering above the lower Bollinger Band, suggesting an attempted recovery towards the middle band at $2.12.

XRPUSD 1-Day Chart
XRPUSD 1-Day Chart

The price recently breached the middle Bollinger Band and reached $2.18, but has since retraced, indicating a lack of sufficient bullish momentum to sustain higher levels. The middle Bollinger Band serves as immediate resistance, and if XRP fails to hold above this level, it could potentially move toward the lower Bollinger Band at $1.97.

The Awesome Oscillator (AO) below the price chart shows negative momentum, with the recent green bars indicating that the bearish momentum may be waning. There’s a chance for a reversal if the AO continues to show green bars. Ultimately, if XRP can break above the middle Bollinger Band and the $2.2648 resistance, it may retest higher levels, potentially targeting the $2.60 range.

Accumulation Ahead of a Potential Rally?

Looking at social media commentaries, data analyst CW highlights that XRP is currently in a short-term decline, approaching its lowest price of the year. Despite this, XRP whales are leading the market, actively trading the crypto even as the price falls.

Image

This behavior is typically seen during bottoming phases, where whales accumulate assets before a potential rally. According to the analyst, they tend to avoid buying during an uptrend, but their active purchasing now signals that they may be preparing for an uptrend in XRP.

Analyst Says End of the Line for FalconX’s XRP Dark Pool

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The debut of the 21Shares XRP ETF has renewed focus on FalconX’s takeover of 21Shares and how this deal might increase the odds of an XRP supply squeeze. 

Notably, the conversation gained momentum following the ETF launch on Dec. 11. Amid the discussions, community members revisited FalconX’s Oct. 22 announcement that it would acquire 21Shares. 

21Shares Debut XRP ETF After FalconX Acquisition

For context, FalconX already serves more than 2,000 institutional clients and runs a broad operation that covers OTC trading, liquidity services, and crypto derivatives. With the acquisition, FalconX plans to connect its large trading network with 21Shares’ record in building and managing crypto ETFs across global exchanges.

Only a few weeks after FalconX closed the deal, 21Shares has now introduced its XRP ETF under the ticker TOXR on the Cboe BZX Exchange. The fund went live after the SEC approved its S-1 filing. Notably, TOXR offers investors a regulated and simple way to gain exposure to XRP without handling custody themselves. 

After the launch, speculation surged across X as several analysts argued that FalconX’s takeover could set the stage for an XRP supply shock. Most of these community figures believe the acquisition and the ETF debut create conditions where demand could grow faster than supply. 

How Could 21Shares XRP ETF Deplete FalconX’s Pool?

“Well, there goes the rest of Falcon X dark pool of XRP,” XRP community figure and DAG CEO Jake Claver said. Claver’s comment builds on the claims that FalconX’s pool of XRP could deplete significantly from TOXR demand.

For context, FalconX manages deep OTC liquidity pools that hold billions of XRP from whales, institutions, and large traders. These pools support massive private transactions without affecting prices on public exchanges. FalconX also handles derivatives, settlement, and credit services for its institutional network, making it a primary source of XRP exposure for big players.

At the same time, 21Shares depends on actual XRP holdings to back its ETF. Its launch of TOXR required millions of XRP upfront. If the ETF attracts strong inflows, the company will need to purchase even more, possibly hundreds of millions of tokens, as assets under management expand. 

Because 21Shares now operates under FalconX, it can draw directly from FalconX’s OTC reserves. This creates a fast, efficient loop where investors buy ETF shares, brokers redeem them, and FalconX supplies the XRP. This process shifts more XRP from private liquidity pools into long-term ETF storage, removing those tokens from daily circulation.

Potential XRP Supply Shock?

XRP community members believe this whole process could tighten supply over time. Importantly, the ETF gives pension funds, retirement plans, and other traditional investors an easy entry into XRP, which could raise demand. 

As FalconX’s OTC reserves collapse, buyers may move to public exchanges where supply remains much thinner. This could push prices higher, similar to Bitcoin’s jump after its ETF launches in early 2024, when strong inflows supported a rally above $100K.

However, it is important to note that broader economic trends could slow demand or weigh on prices. Despite this, recent on-chain activity, including the latest $1 billion AuM milestone from existing XRP ETFs, supports the idea that large buyers continue to build positions.