XRP price fails to respond to two extremely bullish developments — Here is why
XRP advocates experienced two significant events in 2025: XRP was nominated for the US "Digital Asset Reserve" on March 6, and Ripple Labs settled a long-standing complaint with the SEC on May 8. Despite these developments, XRP underperformed, falling 6% in the three months before May 22, while the overall crypto market rose 10%. Traders anticipate a potential rally to $3.50, supported by increased leverage in XRP futures, which saw open interest rise to 923 million XRP. The demand for leveraged positions suggests institutional interest, especially with multiple spot XRP ETF applications pending SEC approval in October. The annualized funding rate for XRP futures reached 19%, indicating bullish sentiment but not at extreme levels. Ripple's regulatory challenges have diminished, allowing for potential partnerships and acquisitions, which historically boost XRP prices.
