XRP’s Bull Flag Formation Targets $15 Despite Recent Pullback
XRP’s price has entered a consolidation phase after a remarkable six-week rally, forming a classic bullish continuation pattern that suggests a profit target above $15.
The XRP/USD pair dropped by 2% to an intraday low of $2.3 on Dec. 16, marking a correction from its peak of $2.90 on Dec. 3. Despite this pullback, XRP remains up significantly, having tripled its value over the past six weeks, while profit-taking has slowed the altcoin’s rally toward the $3.00 mark.
RLUSD Stablecoin Hype Fuels XRP Momentum
XRP’s recent rise is supported not only by its stellar price performance but also by key developments within the XRP Ledger (XRPL) ecosystem, including the anticipated RLUSD stablecoin.
RLUSD, pegged 1:1 to the US dollar, will launch on both the XRPL and Ethereum blockchains, backed by cash reserves and U.S. treasury bills. As RLUSD will rely on XRP for transaction fees, its adoption is expected to increase XRP’s utility.
Georgios Vlachos, co-founder of Axelar, predicts that RLUSD could drive significant adoption of XRP in emerging economies, particularly for payments and savings, by 2025. Axelar’s interoperability platform, which connects XRPL to 69 other blockchains, further expands XRP’s reach across ecosystems.
Meanwhile, Ripple’s Chief Technology Officer, David Schwartz, has addressed investor concerns about potential RLUSD supply constraints and pre-launch price volatility. Schwartz clarified that high pre-launch bids likely reflect speculative interest in holding the first RLUSD tokens, rather than true market value. He reassured investors that the stablecoin price will stabilize close to $1 once supply and demand normalize.
XRP Open Interest Reaches Record Highs
Investor optimism surrounding a crypto-friendly regulatory outlook under Trump’s presidency and RLUSD’s launch has fueled XRP futures markets. On Dec. 3, XRP-tracked open interest (OI) surged to record highs, indicating growing investor commitment.
Open interest serves as a critical metric for gauging market sentiment and future price direction. Rising OI signals increasing capital flow into the market, boosting the probability of XRP maintaining its bullish trend.
XRP Bull Flag Structure Points to $15 Target
Despite the current correction, technical analysis suggests XRP is poised to resume its upward momentum. The XRP/USD pair is forming a “bull flag” pattern — a bullish continuation structure that typically precedes strong price breakouts.
In a bull flag, the price consolidates downward in a descending channel (flag) following a sharp upward rally (flagpole). Once the price breaks above the channel’s upper trendline, it often climbs by the height of the initial flagpole. Based on this setup, XRP’s bull flag projects an upside target of $15.
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