XRP Technical Bullish Signals and Garinghouse Policy Influence: Assessing the Potential for Increased Upside Momentum

Visible Rebound on the Chart, Attention on the $2.72 Resistance Breakout Scenario

XRP rebounded from the lower support near $2.33 on Thursday and is currently trading at around $2.36, recording a 10.67% increase over the past 24 hours. From a technical perspective, this token is positioned in the middle of a descending expanding wedge pattern, with an ongoing attempt to rise towards the upper resistance at $2.72.

In the past 24 hours, the total liquidation in the futures market reached $17.32 million, with $8.58 million in long positions and $8.74 million in short positions liquidated respectively. Currently, RSI, Stochastic, and MACD indicators are still below neutral, indicating dominant bearish momentum; however, if these indicators break above the neutral line, they could signal a bullish reversal.

If the resistance of $2.72 is broken and the combination of the 50-day SMA and 14-day EMA acts as support, the next targets are expected to be the psychological resistance at $4.00 and the all-time high. Conversely, if the lower support is broken, there is a possibility of further decline to around $1.35.

Lowering Barriers for Institutional Investment: Significance of the Deposit Receipt Launch

On Friday, XRP rose by 4% following reports that Receipts Depository Corp and Digital Wealth Partners are pushing for the issuance of XRP deposit receipts(DR) within the United States. Deposit receipts operate similarly to exchange-traded funds(ETF), allowing investors to gain exposure to price movements without directly owning the underlying assets.

The key features of this structure are as follows: First, it is issued through intermediaries similar to American Depositary Receipts(ADR), significantly increasing accessibility for US institutional investors. Second, Anchorage Digital handles asset custody under the supervision of the Office of the Comptroller of the Currency(OCC), ensuring regulatory credibility. Third, by removing barriers for institutional investors, it is expected to enhance liquidity and improve price discovery functions.

Brad Garlinghouse, Moving into the Heart of Policy Making

Ripple CEO Brad Garlinghouse has been reported as a key figure included in the shortlist for the White House Cryptocurrency Advisory Committee established by the Trump administration. This is part of an administrative order aimed at promoting innovation in digital assets and blockchain technology, indicating a policy shift away from the previous administration’s stance of ‘regulatory tightening.’

Additionally, Garlinghouse has been selected as a participant in the CEO forum hosted by the Commodity Futures Trading Commission(CFTC), where a pilot program for digital markets involving tokenized assets such as stablecoins will be a major agenda. This forum, attended by industry leaders like Circle, Coinbase, and Ripple, could have a tangible impact on regulatory policy development.

Positive Policy Signals vs. Technical Weakness: Investment Points

Currently, XRP is at a stage where macro policy tailwinds and micro technical weaknesses are colliding. The policy approval signals from Garlinghouse’s entry into the policy core and the issuance of deposit receipts suggest a long-term demand structure improvement, but the bearish momentum indicated by technical indicators points to potential short-term resistance to upward movement.

Whether the $2.72 resistance is broken and whether technical indicators recover above the neutral line will be key indicators for future trend reversal.