by Coinstrooper Crypto Articles
Quick Take
  • As supply dries up and technical momentum builds, analysts say the setup resembles the start of previous multi-week rallies that pushed XRP to new highs.
  • The XRP token was trading for $2.40 as of this writing, down by almost 5% in the last 24 hours.
  • However, several metrics suggest that there is more upside potential, potentially reaching the $5 mark.
  • Such a move would constitute a 108.3% move above the current price.

What Happened

Investors view the DTCC listing as an early signal that an XRP ETF may be closer than expected, adding fuel to the $5 narrative.

Meanwhile, as of mid-November, XRP’s market dominance (XRP.D) is rising sharply while Bitcoin’s (BTC.D) declines. The shift suggests that investors are rotating into XRP as a hedge during broader market uncertainty.

Market Context

The XRP token was trading for $2.40 as of this writing, down by almost 5% in the last 24 hours. However, several metrics suggest that there is more upside potential, potentially reaching the $5 mark. Such a move would constitute a 108.3% move above the current price.

The following are some reasons why a $5 price increase for XRP may be on the cards.

Citing data from Glassnode, data shared by market analyst Steph is Crypto shows that more than 216 million XRP, valued at $556 million, were withdrawn from exchanges this week.

Lower exchange balances often suggest holders are moving tokens into long-term storage, a sign of conviction that precedes major price breakouts.

Further, trader Onur pointed out that XRP’s Cumulative Volume Delta (CVD), a metric tracking buy-sell pressure, has just flipped bullish for the first time in months.

Additionally, data from CryptoQuant shows that active XRP addresses have reached their highest level since August, signifying a three-month high. Notably, this level has historically preceded upward price movements, and if history rhymes or repeats itself, the Ripple price could rally soon.

Growing user activity often reflects stronger network demand and liquidity circulation, reinforcing the bullish on-chain trend.

Market sentiment received another boost this week as 11 XRP ETF products appeared on the DTCC (Depository Trust & Clearing Corporation) website, a key step in the listing process preceding official approval.

5. XRP Dominance Surges as Bitcoin Weakens

Why It Matters

5 Reasons Why XRP Could Reach $5 in Q4 2025

Conversely, moving tokens to exchanges often suggests intention to sell, with the resulting bearish sentiment impeding potential for a rally.

He added that the combination of ETF speculation and on-chain accumulation could create “a window bulls may not want to ignore.”

Crypto analyst Skylercalled it an exclusive development, noting that the end of the US government shutdown could unlock ETF approvals, potentially opening the floodgates for XRP institutional inflows.

Citing JPMorgan research, an X user estimated that up to $8 billion could flow into XRP ETFs in the first year alone, with only 3–5 billion Ripple tokens available on exchanges. This dynamic could spark a “supply shock.”

Details

Several key metrics, including exchange supply and on-chain momentum, as well as network activity and regulatory breakthroughs, are looking up for the Ripple token, triggering renewed optimism across the XRP community.

As supply dries up and technical momentum builds, analysts say the setup resembles the start of previous multi-week rallies that pushed XRP to new highs.

1. Exchange Balances Hit Record Lows

“Confidence is back!” the analyst wrote on X (Twitter), highlighting a historic drawdown in available supply.

2. On-Chain Momentum Mirrors 75% Rally Setup

“A textbook cup-and-handle setup is forming, with a clean technical breakout pointing toward $5,” he said. “Last time the spot taker CVD flipped this bullish, XRP rallied 75% in weeks.”

3. Network Activity at Three-Month High

4. XRP ETF Listings Fuel Institutional Buzz