XRP price is expected to increase by 48% as the spot ETF is under consideration.

The price of XRP is forming a falling wedge pattern on the daily chart, a technical pattern often associated with strong bullish momentum after a breakout to the upside.

Could this technical setup, combined with the fact that the U.S. Securities and Exchange Commission (SEC) is reviewing WisdomTree's application for the spot XRP ETF, be a signal for a bullish move up to $3.40 or higher?

The falling wedge pattern of XRP targets $3.4

Technically, XRP price could experience a strong breakout if it successfully breaks out of the current falling wedge pattern.

In technical analysis, a falling wedge is a bullish reversal pattern that consists of two converging trend lines — connecting the peaks and lower troughs. This converging movement indicates that the bearish momentum is weakening.

Currently, the price of XRP is retesting the resistance area created by the upper trend line of the pattern, at a level of 2.42 dollars.

If the price surpasses this level, it is highly likely to trigger a rapid bullish movement, with the technical target of the pattern being $3.4 — equivalent to an increase of about 48% from the current price.

Daily XRP price chart | Source: TradingViewThe relative strength index (RSI) has risen from 31 to 47 since April 8, indicating that bullish momentum is gradually forming.

However, to maintain the current rally momentum, the price needs to hold support at $2.2, then must break through the resistance zone between $2.6 and $2.8.

Many analysts are optimistic about the possibility of XRP rising, with anonymous trader Cryptowzrd suggesting that if the falling wedge pattern is confirmed, XRP could breakout to the $2.9 area.

"XRP is closing without a clear trend and is still maintaining a falling wedge pattern. If this pattern breaks, the market will head towards the resistance of 2.8 dollars. If it surpasses this area, we will soon move towards a new all-time high," the trader wrote in a post on X on May 28.

! XRP Daily Price Chart | Source: CryptowzrdAs reported, the XRP price first needs to break through the critical resistance at $2.48 to pave the way towards higher highs.

Will the XRP spot ETF be launched soon?

The SEC has officially begun reviewing the application for the spot ETF fund proposed by WisdomTree XRP Trust, which could help investors gain indirect access to XRP.

The announcement published by the SEC on May 27 initiated a 21-day public comment period and a 240-day official review period, reflecting a structured evaluation process to assess the risks related to investor protection and market manipulation.

This ETF product will track the price of XRP through the CME CF Ripple-Dollar Reference Rate index, allowing investors to gain exposure to the price volatility of XRP without holding the asset directly.

According to predictions from the Polymarket platform, the odds of the XRP ETF being approved before December 31 are currently at 84%. Over the past month, the probability of approval has increased by 21%, from around 63% on April 22.

The approval rate for the XRP ETF on Polymarket | Source: PolymarketSenior ETF analysts at Bloomberg predict the likelihood of approval for the XRP spot ETF to be as high as 85%, following changes in the leadership of the SEC.

The approval of these funds could unlock capital flow from large institutions, thereby significantly increasing demand for XRP and driving the price up to the range of 3–8 dollars.

Some analysts even predict that the price could reach 50 dollars if giants like BlackRock enter the market.

Minh Anh