XRP, policy good news and technical strength coincide, signaling a bullish reversal

XRP is currently seeking a rebound opportunity as several positive factors have recently converged. Ripple CEO Brad Garlinghouse has been mentioned as a candidate for the White House Cryptocurrency Advisory Committee, reinforcing a policy-friendly stance in the industry. At the same time, plans to launch deposit certificates have been announced, which is expected to expand institutional investors’ entry pathways. Technically, the market is in a position of preparing to break through the upper resistance line while maintaining support at the wedge pattern.

Policy Momentum and Institutional Demand, Expectation of XRP Bullish Revival

Policy variables are increasingly influencing the Ripple ecosystem. According to a report by the New York Post, Brad Garlinghouse is being recognized as a key figure in the cryptocurrency committee established by the Trump administration. This indicates that the U.S. government’s digital asset policy is shifting towards a more industry-friendly direction, beyond mere personnel changes.

Additionally, Garlinghouse has been selected as a participant in the Commodity Futures Trading Commission (CFTC) CEO forum. The forum will discuss regulatory frameworks for stablecoins and tokenized assets, with Ripple directly participating alongside major crypto companies such as Circle and Coinbase.

Expanding Institutional Investment Channels to Strengthen XRP Accessibility

Another positive news released on Friday is the plan to launch XRP deposit certificates. Receipts Depository Corp and Digital Wealth Partners will issue XRP deposit certificates in the U.S., providing a new entry route for institutional investors.

Deposit certificates are structured similarly to American Depositary Receipts (ADRs), designed so that investors can be exposed to the price fluctuations of the underlying asset without directly holding XRP. This structure, which offers benefits similar to exchange-traded funds (ETFs), lowers barriers for institutional capital entry. The deposit certificates will be stored under the custody of Anchorage Digital, supervised by the U.S. Office of the Comptroller of the Currency (OCC), ensuring regulatory credibility.

Following this news, XRP rose over 4% on Friday, but the market recovery over the weekend was modest.

Technical Bullish Signals vs. Momentum Weakness, Future Outlook Attention

According to Coinglass data, $17.32 million worth of futures positions were liquidated in the past 24 hours. Long liquidations amounted to $8.58 million, and short liquidations to $8.74 million, indicating that both sides are nearly balanced and a decisive direction may be imminent.

On the daily chart, XRP recovered from the support at the lower boundary of an expanding wedge pattern near $2.33 on Thursday. Currently, it is moving upward toward the upper resistance level of $2.72, which is reinforced by the 50-day simple moving average (SMA) and the 14-day exponential moving average (EMA).

Momentum indicators such as the Relative Strength Index (RSI), Stochastic Oscillator, and MACD histogram are all below neutral levels. This suggests a prevailing bearish signal, but if these indicators break above the neutral line, a bullish reversal could be possible.

Breaking the Upper Resistance Could Open Path to All-Time Highs

If XRP successfully breaks through the upper boundary of the wedge pattern and turns it into support, it could target the psychological resistance at $4.00 and potentially reach a new all-time high. Conversely, if the daily wedge lower boundary is broken, a retest of the $1.35 support level should be considered.

Currently, XRP is trading at $1.86, down 1.58% over the past 24 hours. The policy-friendly environment and expanded institutional entry channels could serve as medium-term bullish factors, but short-term momentum appears weak, so technical breakout signals should be closely monitored.