XRP price outlook: Is liquidity leaving XRP for AI and meme tokens?
The XRP price currently stabilizes around $2.40 but underperforms compared to faster-moving altcoin sectors like AI and meme tokens. On-chain data shows reduced whale activity and slower address growth, with liquidity favoring more volatile sectors. To maintain structural support, XRP needs to hold the $2.35–$2.38 range, with potential upside targets of $2.60–$2.70 if prices break above $2.50. However, failure to maintain support could risk a decline toward $2.20 or lower. Overall, XRP's recovery depends on shifts in liquidity dynamics and capital rotation away from speculative AI and meme tokens.
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Current Status of XRP Price
The XRP price is currently trading close to $2.40, showing signs of short-term stability but underperforming compared to faster-moving altcoin sectors such as AI and meme tokens. AI-themed tokens have shown impressive results, delivering four times the ROI of traditional altcoins this year, according to 2025 analyst data. Additionally, on-chain metrics reveal declining whale activity and slower address growth, signaling that new demand for XRP is not increasing.
Challenges for XRP Amid Capital Rotation
Capital rotation into high-beta instruments, including speculative meme tokens and AI projects, continues to draw liquidity away from XRP. This trend is accompanied by Bitcoin’s increasing dominance, which exerts additional pressure on large-cap altcoins like XRP. XRP remains range-bound, waiting for a new catalyst to reverse the current momentum shift in the market.
Bull Case for XRP
To maintain its structural support, XRP must hold the $2.35–$2.38 range. A breakout above $2.50 could open targets at $2.60–$2.70, potentially redirecting capital back to XRP as faster-moving narratives fade. Institutional buying signals or an increase in whale accumulation could also bolster XRP’s recovery, making a case for renewed strength in the altcoin.
Liquidity Risks to XRP's Price
Speculative interest in AI and meme tokens poses a downside risk to XRP's liquidity. If $2.35 support fails, a decline toward $2.20 or even deeper levels of $2.05–$2.10 could occur. Alongside limited trading volume and conviction, XRP’s attempts to regain momentum may remain fragile, enhancing its vulnerability to liquidity pressures.
XRP Price Prediction
In the near-term, XRP’s likely trading range is expected to remain between $2.35 and $2.50. A breakout above $2.50 may see the price extend toward $2.60–$2.70, while a failure to maintain critical support may lead to a dip below $2.20. Generally, the outlook reflects liquidity compression, with XRP lagging behind in a market dominated by faster-moving assets like AI and meme tokens.
Disclaimer
This content is for educational purposes only and does not represent investment advice.