XRP Price Prediction as Ripple Secures Luxembourg License

Key Insights

• XRP price has rebounded in the past few weeks as cryptocurrencies bounced back.
• Ripple Labs received a license from Luxembourg, a week after it received one from the UK.
• Spot XRP ETFs inflows continued rising, reaching $1.25 billion.

XRP price stayed steady on Wednesday as crypto markets recovered. With this, the Bitcoin price surged past $95,000 for the first time in months. The token also rose after Ripple received a license to operate in Luxembourg, and as XRP ETF inflows continued.

Ripple Labs received a new Electronic Money Institution license from Luxembourg’s CSSF. This license strengthens Ripple’s position in Europe. It acts as a key catalyst driving the XRP price momentum.

The new license is part of Ripple’s process of gaining market share in the European Union. It’s a region with over 450 million people.

This development came a week after the company announced that it had received a license in the United Kingdom. In total, it now has licenses and registrations in over 75 countries globally.

Gaining these licenses will make it possible for the company to ink partnerships with companies operating in these locations. Potential partners are companies like banks, asset managers, and companies offering cross-border payment solutions.

These companies can benefit from using RippleNet to replace their legacy systems that are often expensive and slow. For example, transactions on the network take seconds to complete and cost pennies. In comparison, transactions on Swift normally take a few hours and are a bit expensive.

The licenses will also help Ripple to scale its RLUSD stablecoin. It has continued growing this year, with its assets rising to over $1.4 billion and its transaction volume rising.

Ripple Labs secured conditional approval for its national bank trust in the United States. The approval came from the Office of the Comptroller of the Currency (OCC). This positions Ripple among the few crypto firms advancing toward regulated banking operations.

The banking charter means that Ripple can now offer custody solutions to other companies. It may also decide to ditch Bank of New York (BNY) as its custodian and bring its assets in-house.

It may also use its new license for the companies it acquired last year. The names include Ripple Prime, formerly known as Hidden Road, GTreasury, and Rail.

The other potential catalyst for the XRP price is the ongoing accumulation of the Ripple ETF by American investors.

Data compiled by SoSoValue shows that these funds added over $12.4 million in inflows on Tuesda. This brought the total inflows since inception to $1.25 billion and the net assets to over $1.5 billion. Only Ethereum and Bitcoin have accumulated over $1 billion in inflows.

Canary’s XRPC ETF has gained over $388 million in assets. In contrast, Bitwise, Franklin, and Grayscale have accumulated over $317 million, $291 million, and $287 million in assets, respectively.

Ongoing XRP ETF inflows are taking place even as the coin stays in a bear market. XRP has dropped by double digits from its all‑time high. Despite this decline, investor interest through ETFs continues to grow.

As such, there is a likelihood that they will see robust inflows when a new crypto market rally happens.

The daily timeframe chart shows that the XRP price has rebounded in the past two weeks as the crypto market has rallied. This rebound happened after it formed a large triple-bottom pattern at $1.7688, its lowest level in October, November, and December.

A triple bottom pattern often leads to a strong rebound. Similarly, the token bounced back after forming a falling wedge pattern. That’s made up of two descending and converging trendlines.

XRP price has now flipped the Supertrend indicator from red to green. Moving ahead, it moved to the Strong, Pivot and Reverse levels of the Murray Math Lines tool. It has also risen above the 50-day Exponential Moving Average (EMA).

Therefore, the most likely XRP price prediction is bullish as it enters the third phase of the Elliot Wave. If this happens, the next key target level will be at $2.3965, its highest level this month. A move above that level will point to more gains, potentially to the psychological level at $3.

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