XRP forms a rounding bottom pattern, signaling potential for a sustainable rally toward $5.13 and possibly $7.04 in extended gains.
RLUSD volumes on Aave reach a record $54 million, reflecting XRP’s growing footprint in decentralized finance and broader liquidity markets.
Technical indicators, alongside a bull flag formation, suggest strong buyer momentum that could push XRP toward $5.90 in the coming weeks.
XRP traded at $3.15 on July 3 after recording a 3.27% increase in 24 hours. The digital asset has seen consistent gains in July, which follow months of consolidation. Earlier this year, the price touched $3.40 in January before falling to $1.61 by April 7. A three-month consolidation between April and June prepared the ground for a rebound, pushing the token from $1.96 to $3.66 in mid-July.
The latest price movement has created a rounding bottom formation, which often signals a sustainable recovery. Based on this structure, analysts see potential for XRP to climb to $5.13, representing a 52% advance from its base level.
A more bullish outlook places the next resistance near $7.04. Technical indicators add weight to this expectation. The relative strength index shows buyers still hold momentum, with levels remaining below extreme overbought conditions observed in December.
DeFi Expansion Boosts Sentiment
XRP’s bullish setup has coincided with rising activity in decentralized finance. RLUSD, Ripple’s stablecoin, has seen strong traction on Aave, where trading volumes surged to $54 million, the highest recorded. This growing adoption signals stronger participation in a sector valued at $140 billion. Ripple executives highlighted the stablecoin’s progress, noting its ranking ahead of established competitors such as USDC and USDT in certain metrics.
Market analysts had previously identified a bull flag formation for XRP, projecting a possible advance to $5.90. The combination of bullish technical setups and strengthening DeFi demand has supported optimism. With increased buyer participation and rising RLUSD activity, market observers believe the environment favors continued growth in the short term.
XRP is positioned for further gains as July progresses, driven by chart patterns that suggest strength and growing adoption in DeFi platforms. The token’s alignment with broader liquidity growth in the market indicates that momentum remains firmly on the side of buyers.
