- TD Sequential indicator signals potential XRP price correction in coming weeks.
- XRP holds support at 0.888 Fibonacci, but may consolidate until mid-March.
- Brazil approves spot XRP ETF; U.S. SEC could follow, boosting institutional adoption.
The price of XRP remains under pressure as technical indicators and whale activity suggest a potential correction in the coming weeks. XRP has declined 0.31% in the last 24 hours and 13.71% over the past week, trading at $2.24.
Despite its resilience compared to other altcoins, analysts highlight critical resistance and support levels that may dictate its next move. Meanwhile, developments in the XRP Ledger (XRPL) ecosystem and regulatory shifts continue to shape investor sentiment.
TD Sequential Indicator Signals a Sell-Off
Crypto analyst Ali Martinez notes that the TD Sequential indicator, which has historically been reliable in forecasting XRP’s price direction since 2022, has now flashed a sell signal on the two-week chart. This signal suggests that a market correction could be imminent, raising concerns about further downside pressure.
The TD Sequential indicator has been highly accurate in predicting $XRP price direction since 2022. It now flashes a sell signal on the 2-weeks chart, suggesting an impending correction. pic.twitter.com/K4DaBDUihQ
— Ali (@ali_charts) February 26, 2025
Additionally, Martinez highlights that XRP whales have sold over 370 million XRP within the last 96 hours, increasing selling pressure and reinforcing the bearish outlook.
XRP’s Current Market Structure and Key Levels
Another analyst, Charting Guy, points out that XRP has shown greater stability than most altcoins, maintaining a sideways trend while others have seen sharp declines. However, the token recently faced rejection at a key downtrend resistance level. It is now holding support on an uptrend line, coinciding with the 0.888 Fibonacci retracement level.
$XRP update📈
— Charting Guy (@ChartingGuy) February 25, 2025
this coin continues to hold better than the majority of alts as it’s relatively sideways the past few months while other alts have been almost straight down
yet another reason why this coin is 80% of my crypto portfolio
rejected at downtrend resistance from last… https://t.co/Ta3kxF7dec pic.twitter.com/zoIVg7B23I
According to Charting Guy, this suggests that the lows are likely in, but XRP may continue consolidating within a triangle pattern until mid-to-late March before a decisive move occurs.
He emphasizes that the 0.888 Fibonacci level remains crucial, with any dips below it likely being bear traps. While some speculate that XRP could drop to $1.60 in a worst-case scenario, the analyst sees this outcome as increasingly unlikely.
Institutional DeFi Expansion on XRPL
Despite price volatility, the XRP Ledger is making significant strides in building an institutional-grade DeFi ecosystem. The XRPL is positioning itself as a secure, scalable Layer 1 network with features such as a native decentralized exchange (DEX), low fees, and rapid settlement times.
Notably, the network has introduced an Automated Market Maker (AMM) through its Order-Book DEX Extension, improving liquidity provision. Additionally, a new Decentralized Identity (DID) feature enhances compliance with KYC and AML regulations. The Multi-Purpose Token (MPT) standard has also been launched, allowing for tokenized bonds and fixed-income assets on the XRPL.
Progress on Spot XRP ETF Approval
Regulatory developments are also playing a significant role in XRP’s future outlook. Brazil has already approved a spot XRP exchange-traded fund (ETF), marking a significant milestone for institutional adoption.
Meanwhile, the U.S. Securities and Exchange Commission (SEC) has acknowledged filings for similar XRP investment products. The recent decision by the SEC to drop legal cases against Coinbase, OpenSea, and Robinhood has led to speculation that Ripple’s lawsuit may also be heading toward a resolution. If approved, a spot XRP ETF in the U.S. could further solidify XRP’s position in the broader crypto market.
