XRP faces a mixed setup as positive news struggles to lift its price. Despite announcements like the upcoming XRPL EVM mainnet launch and the integration of USDC, XRP has dropped 6.5% over the past three days.
Technical indicators such as RSI and DMI show early signs of shifting momentum, while EMA signals remain bearish. Monday marks the final opportunity for Ripple and the SEC to settle their lawsuit—if it fails, the legal battle could extend into 2026, adding further pressure to XRP’s short-term outlook.
XRP Gains Utility, But Price Struggles Ahead of Legal Deadline
Despite a wave of positive developments around Ripple, XRP’s price hasn’t followed suit—falling 6.5% over the last three days. This comes even as Ripple executives confirmed the XRPL EVM sidechain will launch on mainnet in Q2 2025, a major step that will bring Ethereum-compatible smart contracts to the XRP Ledger. Recently, more companies have also started to build XRP reserves.
In parallel, Circle announced the native launch of USDC on XRPL, signaling deeper institutional support and greater utility across DeFi, payments, and global settlements.
However, the market remains cautious as all eyes now turn to Monday, the final window for Ripple and the SEC to settle their long-running lawsuit.
After a failed attempt in May, Ripple and the SEC have submitted a revised motion to reverse a key securities ruling—but legal experts remain skeptical.
Critics argue the new filing lacks substance, offering few compelling arguments to change Judge Torres’ original decision. If the motion is denied again, Ripple may face an extended ban on retail securities sales, and the legal battle could drag into 2026.
Despite regulatory tailwinds and growing infrastructure support, XRP appears trapped between bullish headlines and bearish price action.
XRP Momentum Shifts: RSI and DMI Signal Potential Reversal
XRP’s Relative Strength Index (RSI) has risen to 43.56, up significantly from 28.24 just two days ago. RSI is a momentum indicator that measures the speed and magnitude of recent price changes, typically on a scale from 0 to 100.
Readings below 30 indicate that an asset may be oversold, while readings above 70 suggest it could be overbought.
XRP RSI. Source: TradingView.XRP’s recent move out of oversold territory and into the mid-40s signals a potential shift in momentum, suggesting early signs of buyer interest returning—though it hasn’t yet crossed into bullish territory.
XRP’s Average Directional Index (ADX)—which measures the strength of a trend regardless of direction—has climbed to 26.47, up from 18.84, crossing the key 25 threshold that typically marks the beginning of a strong trend.
XRP DMI. Source: TradingView.Meanwhile, the +DI (positive directional index) rose from 10.56 to 15.57, while the -DI (negative directional index) fell sharply from 36.77 to 23. This crossover indicates that bullish pressure is rising while bearish pressure is fading.
If this dynamic continues and the ADX keeps climbing, XRP could be setting up for a trend reversal to the upside.
EMA Signals Still Bearish, But XRP Eyes Break Above $2.28
XRP’s Exponential Moving Averages (EMAs) are still in a bearish configuration, with short-term lines sitting below long-term ones—a sign that downward momentum remains in place.
However, recent price action suggests that sentiment might be shifting. If XRP can build on its recovery and push through the key resistance at $2.28, it could open the door for a move toward the next target at $2.33.
XRP Price Analysis. Source: TradingView.This potential breakout would mark a significant technical improvement and signal renewed bullish strength.
That said, the setup still demands caution. If XRP fails to sustain its current upward push and faces rejection at resistance, a correction could drag the price back down toward the $2.05 support zone.
