XRP started August with double-digit gains, bringing its total annual gains to 420%. However, according to many cryptocurrency market experts and altcoin analysts, this recovery is not over yet - XRP could reach new levels in 2025.
Along with rising prices, Ripple Labs continues to expand its business as more and more major companies and even the U.S. government include XRP in their digital asset portfolio to diversify and balance their treasury.
Notably, the U.S. Securities and Exchange Commission in Washington, D.C. has also taken a 180-degree turn since President Donald Trump's re-election, shifting from a confrontational stance to one of cooperation and support for Ripple Labs.
Furthermore, Ripple is accelerating in the third quarter of 2025 by taking significant steps to expand cross-border payment infrastructure, serving large-scale transactions between leading financial institutions.
XRP outperformed U.S. stocks in July: Optimistic forecasts as August approaches
July ended with strong performance for XRP, as the cryptocurrency outperformed U.S. stocks - even the benchmark S&P 500. This is a very positive sign for XRP's price outlook in early August.
XRP Price Chart vs SPX | Source: TradingView
While the U.S. stock market experienced a volatile month - with the Nasdaq Composite hitting record highs again despite concerns over tax reform under the Trump administration and global tariff policies - XRP holders saw massive returns.
Specifically, in the thirty days ending on July 29, the S&P 500 index rose by only +2.67%, while XRP increased by over +42%, from $2.20 to $3.13 on cryptocurrency exchanges.
Although both assets experienced slight corrections in late July and August 1 due to political concerns and economic uncertainty, XRP's performance was notable. It is worth mentioning that over the 65-year history of the S&P 500 index, it took about four years on average to achieve gains comparable to what XRP achieved in just 30 days. This is not the first time Ripple has seen such astonishing gains - similar spikes occurred in January and November of last year, as well as during Bitcoin's bull cycles in 2021 and 2017.
Analysts seem particularly optimistic at the moment, pointing to five key factors that could drive the price of XRP towards $5 over the next five months.
1. The analyst predicts that the price of XRP will reach $5 by 2026
In an update on July 25, Aaron Arnold, co-founder of Altcoin Daily, expressed his view that XRP could reach $5 or even higher, given its role not only as a cryptocurrency but also as a fundamental digital infrastructure for global payments.
According to Arnold, the main driver of this growth is the stablecoin RLUSD, which is scheduled for launch in December 2024. He emphasized that "the stablecoin RLUSD is the key."
The reason mentioned by Arnold is that the supply of XRP is limited, and that each transaction on the XRP ledger leads to the burning of a portion of it, increasing the scarcity of the currency and supporting its price. As RLUSD grows and its use spreads, the demand for XRP will increase, while the supply will become increasingly limited.
It is worth noting that just a few months after its launch, the market capitalization of RLUSD reached over $500 million in July 2025. According to Arnold, this is a positive signal for both Ripple's business operations and XRP's valuation prospects, opening the outlook for a strong growth cycle throughout 2025 towards a price of $5 in 2026.
2. The race to accumulate XRP in corporate treasury bonds has begun
In parallel with the rising use of XRP in stablecoin transactions on the blockchain, some companies have at least begun building their own XRP vaults.
Nature’s Miracle Holdings, a California-based agricultural technology company specializing in equipment for indoor, greenhouse, and vertical farming, is at the forefront of this trend.
Although its market value is slightly below $2 million and it is publicly traded on the over-the-counter market in the U.S., the company announced on July 23 that it raised $20 million through a SEC-approved equity financing deal to buy and store XRP, making it the first non-financial company to publicly hold a significant amount of XRP.
The company's CEO, James Lee, stated that the GENIUS Act, along with political changes under the Trump administration and the U.S. Congress, has created a clearer legal framework for blockchain technology, prompting the company to make this strategic decision.
Lee added: "We see tremendous potential in XRP due to its ability to enhance speed and reduce the cost of cross-border payments."
3. The U.S. national reserve becomes new fuel for XRP
It's not only major companies storing XRP, but the U.S. federal government is also intervening. Notably, Donald Trump designated XRP as one of the assets he wants the White House to add to the national reserve for the American people.
According to the National Reserve's report on digital assets and blockchain technology, released on July 30, the U.S. government identified XRP as one of the strategic pillars in the proposed digital asset portfolio. This report provided significant support for XRP prices, bolstering confidence in the long-term potential of this currency.
Additionally, Fannie Mae and Freddie Mac - two federal financial institutions that support mortgage loans - now allow individuals to list XRP and other cryptocurrencies as financial assets when applying for a loan, without needing to sell them to convert to cash.
Thanks to these leading policies, the U.S. government has become one of the most important drivers of XRP's price, not only for the remainder of 2025 but also towards a growth cycle that extends into 2030 and beyond.
4. Ripple's new U.S. patent: Does it pose a real threat to SWIFT?
Ripple continues to enhance its global presence as it expands operations in both the U.S. and Europe. The company announced that it is seeking a Markets in Crypto-Assets (MiCA) license to comply with European regulations, facilitating its expansion into the Eurozone.
In the U.S., Ripple made a significant advance in July when it obtained patent number 11,998,003 for an international payment network with ultra-fast processing speeds, thereby surpassing SWIFT - the oldest and most famous cross-border payment system currently based in Belgium.
It is expected that if RippleNet and the XRP Ledger capture 14% of SWIFT's daily transaction market share, the price of XRP could rise significantly, opening a strong growth scenario for the cryptocurrency in the coming years.
5. Bitcoin heading towards $150,000 to $200,000: A strong leverage for XRP
Many professional analysts believe that the price of Bitcoin could reach $175,000 - $200,000 by 2025, and if this scenario materializes, the price of XRP could rise from the current $3 to around $5.
History supports this argument: during Bitcoin's 50% rise from November 4 of last year to January 20, XRP's value surged by 518% in just 77 days. If a similar rise occurs from its current levels, the price of XRP could reach $19.30 - a lucrative scenario for long-term investors.
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