Why is XRP price up today?
XRP, the cryptocurrency that has gained prominence for its utility in cross-border payments and banking partnerships, has shown resilience amidst a recent market downturn. Following a notably volatile period, XRP has rebounded with a 6% increase over the past 24 hours, positioning itself at $2.24 and trading 18% above its 24-hour low of $1.89, indicating a potential recovery in market sentiment.
### Franklin Templeton’s XRP ETF Filing
A significant catalyst contributing to XRP’s surge is the recent filing by Franklin Templeton, a prominent asset management firm with over $1.5 trillion in assets under management. On March 11, the firm submitted an S-1 registration form to the U.S. Securities and Exchange Commission (SEC) for launching a spot XRP exchange-traded fund (ETF). This filing not only reaffirms the rising institutional interest in XRP but also signals confidence in its viability as a mainstream investment vehicle.
Given the growing momentum in the crypto ETF space, Franklin Templeton’s move marks it as the seventh firm to pursue an XRP-based ETF, joining other influential players like Bitwise, Grayscale, and WisdomTree. Market analysts view this development as reinforcing XRP’s position within the broader cryptocurrency ecosystem, fueling speculation that approval of such products could unlock substantial capital inflows and push XRP prices into double digits.
As noted by industry analyst Dark Defender, “Franklin Templeton has filed the 17th XRP ETF, which alone has $1.53 trillion USD under their asset management,” hinting at a bullish outlook should multiple filings gain approval.
### MVRV Metrics Indicate Potential Recovery
Amidst the external catalysts supporting XRP’s price rebound, on-chain data suggests that XRP’s price may have found a bottom. The Market Value to Realized Value (MVRV) ratio, a key metric for understanding asset valuation, has recently dipped to -16%, signaling that XRP is potentially undervalued. Historically, when the MVRV ratio falls below 10%, it precedes a price rebound, indicating that selling pressure may have eased.
### Optimistic Price Projections
On the technical front, XRP appears to be forming a V-shaped recovery pattern following a significant decline. Trading just below a critical supply zone between $2.30 and $2.45, the cryptocurrency needs to push past this range to increase its chances of reaching a neckline target of $2.64. Achieving this price point could yield a potential gain of 20% from current levels.
Recent trends also show a positive shift in RSI values, moving from oversold conditions of 27 to a more robust 44, indicating an accumulation phase that could encourage further price appreciation.
Market participants remain bullish, with some sources stating that XRP’s strong chart performance amid the broader market sell-off positions it favorably for a substantial upward movement as overall market conditions improve.
As the crypto landscape evolves, institutional acceptance, robust market metrics, and favorable technical patterns weave together to create a cautiously optimistic outlook for XRP and its investors as the crypto market seeks steadiness beyond recent upheavals.
