XRP price set to rally as Bullish’s IPO boosts RLUSD
XRP price dipped to a key support at $3 this week, down 17% from its YTD high and carrying a market cap of $179 billion. Bullish, the Peter Thiel–backed exchange that went public with a $1.5 billion IPO, received proceeds primarily in USDC and in part via Ripple USD (RLUSD), PayPal’s PYUSD and USD1. Since its December launch, RLUSD supply has surged to $666 million, with monthly volume jumping to $2.6 billion, driven in part by the new U.S. GENIUS Act regulation and Ripple’s recent acquisition of stablecoin platform Rail. Greater RLUSD usage on the XRP Ledger should boost fee generation and XRP burning, reducing circulating supply. On the charts, XRP has formed a bullish cup-and-handle and an inverse head-and-shoulders pattern within the handle, trading above its 50- and 100-day EMAs. A sustained breakout could target $5.20, while a drop below $2.70 would invalidate the bullish setup.
Bullish
Bullish’s decision to allocate IPO proceeds to RLUSD underscores rising demand for XRP Ledger–based stablecoins. RLUSD’s rapid supply and volume growth—supported by U.S. regulatory clarity under the GENIUS Act and Ripple’s Rail acquisition—can drive on-chain activity, increase fee revenue, and trigger more XRP burns, tightening supply. Historically, new stablecoin adoption on a network has coincided with positive price pressure on the native token (e.g., USDC adoption on Ethereum). Technicals reinforce this outlook: XRP has formed a textbook cup-and-handle pattern and an inverse head-and-shoulders within the handle, trading above key EMAs. If XRP breaks above the handle’s resistance, a rally toward $5.20 is plausible. Even in the near term, renewed bullish momentum could attract traders seeking breakout plays, while long-term network use cases strengthen fundamental support.