XRP Price Surges 13% Post-Trump Tariff Pause & XXRP ETF Launch

XRP Price Surges 13% Following Trump's Tariff Pause and XXRP ETF Launch

XRP price has seen a notable 13% increase, surpassing the $2 mark after President Donald Trump declared a 90-day halt on reciprocal tariffs, excluding China, which faced an additional 125% hike in response to their counter-tariffs against the US. This rally in XRP comes alongside favorable news and the launch of the XXRP ETF on the New York Stock Exchange (NYSE) Arca.

Descending Triangle Pattern Indicates a Potential 33% Decline

From December 2024 onwards, XRP price has been forming a descending triangle pattern on its daily chart, characterized by a flat support level alongside a downward-sloping resistance line. This pattern, which emerges after a strong uptrend, typically signals a bearish reversal. Generally, this configuration resolves when the price breaches the flat support level and plunges by the triangle's maximum height.

On April 6, the price dropped below the triangle's support line at $2, confirming a possible breakdown move. Consequently, the price may descend towards the downside target around $1.20 by the end of April, marking a 33% decrease from its current levels.

Traders like CasiTrade have projected that XRP could potentially drop to $1.55 following a "textbook" Elliott Wave Theory analysis. According to CasiTrade, breaking below the critical level of $1.81 would validate a deeper downturn, with a potential halt at $1.71 before reaching the projected final low at $1.55.

Can the XXRP ETF Launch Prevent an XRP Price Decline?

Despite the unveiling of the XXRP ETF on NYSE Arca on April 8, XRP's price remains unstable due to a blend of market dynamics and escalating trade tensions. The 2x leveraged ETF, crafted to amplify XRP's daily returns, debuted amidst heightened volatility, as XRP traded around $1.71 following a 7.4% drop within 24 hours.

The XXRP ETF attracted $5 million in first-day trading volume, marking a commendable feat in light of the current volatility in crypto and global markets. Although this volume was significantly lower compared to BlackRock's IBIT ETF launch, it positioned XXRP among the top 5% of new ETF releases.

Aside from the XXRP ETF, attention is also drawn to macroeconomic factors, particularly President Trump's reciprocal tariffs, which could potentially trigger additional volatility across the crypto markets in the coming days.

Please note that this article does not constitute investment advice or recommendations. All investment decisions carry risks, and readers are advised to conduct their own research before making any decisions.