Will XRP Surpass $3.50 Before Bitcoin Recovers? AI Highlights Key Drivers Behind the Rally

▲ Bitcoin (BTC), XRP (Ripple) ©

As the recovery of market leader Bitcoin (BTC) is being delayed, artificial intelligence chatbot ChatGPT has drawn market attention with a bold forecast that XRP (Ripple) could surge to as high as $3.50 before Bitcoin does.

According to Yahoo Finance on February 19 (local time), ChatGPT predicted that XRP could reach between $2.50 and $3.50 by the end of 2026. This represents upside potential of up to 155% from its current trading level of around $1.45, suggesting that XRP could reclaim the $3 mark before Bitcoin decisively breaks above $90,000. While Bitcoin’s recovery depends largely on factors such as potential interest rate cuts by the Federal Reserve, XRP is already operating with strong independent upward momentum.

Behind this optimism are three key catalysts that Bitcoin lacks. First is solid demand for spot ETFs. While Bitcoin spot ETFs experienced outflows exceeding $2 billion in January and February 2026, XRP spot ETFs have recorded cumulative inflows of $1.37 billion since their launch in November, demonstrating strong institutional buying pressure. Second is infrastructure expansion through corporate acquisitions worth $2.4 billion. Ripple has acquired firms such as Hidden Road and G-Trade Treasury, building an institutional financial system, while the market capitalization of its proprietary stablecoin RLUSD for cross-border payments has surpassed $1.3 billion.

The third driver is regulatory clarity. With the conclusion of its lawsuit with the U.S. Securities and Exchange Commission (SEC) in August 2025, XRP firmly established that it is not classified as a security in the secondary market, a decisive factor in attracting sidelined institutional capital. In contrast, Bitcoin still faces potential risks related to spot ETF custody concentration and policy shifts, leaving XRP relatively freer from regulatory uncertainty.

Experts note that for XRP to surpass its previous all-time high of $3.84 set in 2018, additional conditions must align. Inflows into XRP spot ETFs would need to accelerate to around $5 billion, alongside broader real-world payment adoption and the passage of the U.S. crypto market structure bill, the CLARITY Act, in Congress. If the bill passes, large-scale traditional financial capital, including pension funds and insurance companies, would be able to invest directly.

However, caution is warranted regarding volatility risks for ChatGPT’s optimistic outlook to materialize. XRP has shown approximately 1.8 times greater volatility than Bitcoin, meaning it could decline more sharply during market downturns. Additionally, if weekly inflows into XRP spot ETFs fall below $10 million or if Bitcoin drops below $80,000 due to macroeconomic pressures, XRP could retreat to the $1.50–$2.00 range, requiring careful attention from investors.

Disclaimer: This article is for investment reference only and we are not responsible for any investment losses resulting from it. The content should be interpreted for informational purposes only.