XRP price has been in a downward spiral since July, as it moved from the year-to-date high of $3.64 to $2.812. Still, Ripple has numerous catalysts that will push it past $5 in September.
Summary
- XRP price will benefit from the October ETF approval deadline by September.
- More companies are adding XRP tokens into their treasuries.
- Technical analysis points to more Ripple price gains in September.
Top catalysts that will drive XRP price past $5
The Ripple (XRP) price could be on the cusp of a strong bull run as technicals and fundamentals align. The most important driver for the upcoming surge is that the Securities and Exchange Commission has set the final deadline for several XRP ETF approvals to October.
Polymarket odds show that the agency will approve most of these ETF. Therefore, the XRP price will likely go parabolic in September as investors wait for the approval, as the current data show that these funds will have substantial demand.
One way to estimate the amount of assets these funds will have under management is to look at Bitcoin (BTC) and Ethereum (ETH) ETFs. Their ETFs hold about 6.5% and 5.4% of their market cap. As such, if XRP ETFs gain 5% of their market cap, they would have about $8.5 billion in assets.
XRP price will also jump as more companies embrace the coin for their treasuries. Firms like Trident Digital, Webus, and VivoPower have already bought millions of dollars’ worth of XRP tokens. On Friday, Gumi, a top Japanese company, said that it would buy XRP worth over 2.5 billion yen or $17.26 billion.
XRP price will also soar in September in anticipation of the upcoming Federal Reserve interest rate cuts. Jerome Powell and other Fed officials have hinted that this cut will happen after the recent weak jobs numbers. Crypto and stocks may jump in anticipation of these cuts.
Ripple has more catalysts, including the growing market share of the RLUSD stablecoin and its bullish funding rate.
Ripple price technicals are highly bullish
Meanwhile, technical analysis shows that the XRP price is forming top bullish chart patterns. It is in the process of forming a bullish flag pattern, which has a flagpole and a descending channel resembling a hoisted flag.
The flag section is part of the formation of the handle section of the cup-and-handle pattern, whose depth is about 53%. Therefore, extrapolating this percentage from the cup’s upper side brings the target price to $5.2, up by 85 percent from the current level.
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