Why Did XRP Rise 1.7% Today? Is There a Chance It Will Rise Even Higher?

XRP is showing signs of recovery on September 3 after a sharp pullback from its August highs. The cryptocurrency has gained roughly 1.7% as buyers return around an important support zone, while the wider crypto market also attempts to stabilize.

The question now is whether this is simply a short term bounce or the beginning of another XRP rally. With ETF demand remaining strong and several technical levels approaching, XRP could have more room to recover, but bulls still need to overcome important resistance.

Key Takeaways

• XRP’s 1.7% rise looks mainly like a technical rebound from support.

• Strong XRP ETF inflows are helping provide a demand cushion.

• A break above $1.39 to $1.40 could open the way towards $1.47 and potentially higher.

Why Is XRP Rising 1.7% Today?

source by AI Illustration

The simplest explanation for XRP’s latest gain is that buyers have stepped in after the token experienced a significant correction from its August rally.

XRP climbed strongly during August before reaching levels around $1.70. However, the rally lost momentum and the token subsequently moved towards the $1.31 to $1.35 area.

That decline brought XRP closer to several technical support levels. Recent technical analysis has identified the $1.35 region as particularly important, with the 200 day exponential moving average acting as a reference point for the broader trend.

When an asset falls towards an established support area after a large rally, traders often look for signs of stabilisation. XRP's latest 1.7% gain therefore appears to be partly a technical bounce rather than the result of one major piece of breaking news.

The broader crypto market is also providing some assistance. Bitcoin and other major cryptocurrencies have been attempting to recover, creating a more supportive environment for altcoins such as XRP. 

Current market conditions remain sensitive to interest rate expectations and broader risk sentiment, particularly with investors watching upcoming US economic data and Federal Reserve signals.

There is another important factor: institutional demand.

XRP ETF Inflows Remain an Important Support

Spot XRP ETFs have continued to attract capital despite the token's recent price weakness. Cumulative inflows reached approximately $1.67 billion by the end of August, while weekly inflows increased significantly towards the end of the month.

This creates an interesting situation.

XRP's price has fallen considerably from its August high, but ETF investors have continued accumulating exposure. That suggests demand has not disappeared simply because the market experienced a correction.

For traders, persistent ETF inflows can be viewed as a potentially positive medium term signal. However, ETF demand does not automatically mean XRP will rise immediately. Sellers can still overwhelm buyers in the short term, especially when the wider market is under pressure.

That appears to be what happened during XRP's recent decline.

The current 1.7% recovery may therefore represent the market beginning to rebalance between persistent institutional demand and short term selling pressure.

Read Also: How to Buy XRP Safely in 2026

Can XRP Rise Even Higher This Week?

Yes, XRP could rise further, but the cryptocurrency needs to clear several resistance levels before the bullish scenario becomes stronger.

The first level to watch is around $1.39 to $1.40.

This area has become an important test for XRP because it sits close to the longer term moving average and previous price structure. Recent analysis has highlighted the $1.3505 area as significant support, while $1.3966 is a key near term level that XRP needs to reclaim.

A decisive move above $1.40, particularly if accompanied by stronger trading volume, would improve the technical picture.

The next target could then be around $1.47.

If XRP breaks through that level, traders could begin watching the $1.55 to $1.60 region. This would represent a meaningful recovery from the recent correction and could potentially put the August high back into focus.

The bigger target remains $1.70, which was reached during August.

Reclaiming $1.70 would be considerably more significant than today's 1.7% move because it would demonstrate that XRP has successfully reversed its correction rather than simply bouncing from support.

What Could Push XRP Towards $2?

A move towards $2 is possible, but it would require considerably stronger momentum than XRP currently has.

Three factors could become particularly important.

First, continued ETF inflows.

If institutional demand remains strong throughout September, it could provide a foundation for a larger recovery. Recent data already shows that XRP ETFs attracted more than $1.6 billion in cumulative net inflows, demonstrating that investor interest has remained resilient despite the price correction.

Second, Bitcoin needs to remain supportive.

XRP is unlikely to sustain a major breakout if Bitcoin and the wider cryptocurrency market enter another sharp sell-off. Conversely, a stronger Bitcoin trend could encourage investors to rotate into large-cap altcoins.

Third, regulatory developments could influence sentiment.

The market is continuing to monitor US crypto legislation and broader regulatory developments. Positive progress could improve sentiment towards XRP, while delays or uncertainty could limit risk appetite.

For this reason, XRP's path to $2 is better viewed as a scenario rather than a prediction.

Read Also: XRP Price Rises Over 45%: Can It Reach $3?

XRP Price Outlook: Key Levels to Watch

source by CoinMarketCap

Based on the current technical structure, XRP appears to be caught between support and resistance.

The most likely short term scenario is continued consolidation between roughly $1.31 and $1.40.

Recent technical analysis has similarly pointed towards a $1.35 to $1.55 range for September, with the $1.3505 area acting as an important dividing line for the recovery.

If XRP breaks above $1.40 and holds that level, momentum could improve and push the token towards $1.47 and potentially $1.55.

On the other hand, a decisive move below $1.31 would weaken the immediate bullish setup. In that situation, XRP could revisit the $1.22 to $1.25 region.

This makes the next few trading sessions particularly important.

Rather than focusing only on today's 1.7% gain, traders should watch whether XRP can turn resistance into support. A sustained close above $1.40 would be much more meaningful than a temporary intraday spike.

Read Also: XRP Price Forecast Before and After the CLARITY Act

Conclusion

XRP's 1.7% rise today appears to be a combination of a technical rebound, improving market sentiment and persistent ETF demand rather than a single major catalyst. 

The $1.31 to $1.35 area remains important support, while $1.39 to $1.40 is the key hurdle for bulls. If XRP breaks above that zone with strong volume, $1.47 and $1.55 could become realistic recovery targets, with $1.70 and $2 requiring substantially stronger momentum. 

However, cryptocurrency markets remain volatile, so traders should manage risk carefully. For easier and safer crypto trading, Bitrue offers a convenient platform for monitoring XRP and other digital assets while managing trades in one place.

FAQ

Why did XRP rise 1.7% today?

XRP's gain appears to be mainly a technical rebound from the $1.31 to $1.35 support area, combined with a modest recovery across the wider cryptocurrency market and continued XRP ETF demand.

Can XRP reach $1.40 this week?

Yes. XRP is already close to the $1.39 to $1.40 resistance zone. A decisive breakout above this area could strengthen the short term bullish outlook.

What happens if XRP breaks above $1.40?

A successful breakout could put $1.47 into focus, followed by the $1.55 to $1.60 region if buying momentum continues.

Could XRP reach $2?

XRP could potentially reach $2 during a stronger bullish phase, but this is not guaranteed. Sustained ETF inflows, a stronger Bitcoin market and favourable regulatory developments would likely be needed for such a move.

What is the biggest risk for XRP right now?

The main short term risk is a loss of support around $1.31 to $1.35. A decisive breakdown could expose XRP to the $1.22 to $1.25 support area and delay the recovery scenario.

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