XRP Stalls at $1.34 Despite Smart Contracts, Stablecoin Launch
XRP faces resistance at $1.3480 after forming a low at $1.32, with analysts pointing to institutional capital as the missing catalyst for a sustained price recovery.
Key Takeaway
XRP needs institutional capital to break resistance — retail trading alone can't push price past $1.35.
XRP formed a low at $1.32 and now faces resistance at $1.3480, a 50% Fibonacci retracement level from the recent swing high at $1.3754. If XRP clears that level, the next hurdles sit at $1.3620, $1.3750, and $1.38. A sustained push above those levels could send the price toward $1.40 resistance.
Support has formed at $1.32, with deeper levels at $1.30, $1.2880, and $1.2750. A break below $1.32 could send XRP toward $1.25.
The price action comes despite two major developments from Ripple this year: the introduction of smart contract capabilities to the XRP Ledger and the launch of the RLUSD stablecoin. Analyst Bill Morgan said on X that he was surprised neither sparked noticeable price movement, despite their importance for the network. XRP reached above ₱180 ($3) in 2025 before entering a persistent downtrend, then consolidated around ₱120 ($2) for five months following progress on the SEC lawsuit resolution in March 2025.
Evernode CEO Ashish Birla said institutional capital is the missing catalyst for XRP price appreciation, as overwhelming retail traffic currently masks the need for large-scale liquidity bridges. Currently 18% of large institutions hold XRP, while 25% plan to add it by 2026. XRP trading remains dominated by retail exchanges with short-term sentiment-driven movements, unlike Bitcoin's institutional penetration via ETFs.
The CLARITY Act passed in April 2026, potentially bridging XRP's liquidity gap with institutional capital.
This article was written based on reporting from NewsBTC.
