After a 68% Plunge, Where Is XRP’s True Bottom as Deutsche Bank and SWIFT Step In?

▲ Ripple (XRP) and SWIFT / ChatGPT-generated image

XRP (Ripple), which plunged a staggering 68% from its all-time high of $3.56 and has been trapped in a prolonged correction, is now building massive rebound momentum backed by strong institutional demand, including adoption of its payment network by Deutsche Bank and explosive growth in its real-world asset (RWA) ecosystem to $1.44 billion.

According to investment outlet TradingNews on Feb. 21 (local time), XRP plunged more than 30% from around $2.05 earlier this month and is currently consolidating between $1.43 and $1.45. After recording bearish monthly candles in seven out of 11 Februaries since 2014, history appears to be repeating itself this year, with XRP confirming a bottom at $1.11 and continuing an uneasy sideways trend while seeking direction.

Despite weak price performance, a major shift has occurred on the infrastructure front. Deutsche Bank, a global financial giant, has deeply integrated Ripple technology for cross-border payments and digital asset custody in collaboration with SWIFT (Society for Worldwide Interbank Financial Telecommunication), reducing settlement times from several days to mere seconds and cutting operating costs by about 30%. In addition, tokenized real-world assets on the XRP Ledger (XRPL) surged 266% in just one month to surpass $1.44 billion. Notably, XRPL has captured 63% of the institutional tokenized U.S. Treasury market, significantly outperforming Ethereum (ETH).

Major financial institutions are also opening their wallets. Goldman Sachs has allocated approximately $153 million—about 6% of its $23.6 billion internal crypto portfolio—to XRP, treating it as a core asset on par with Bitcoin (BTC). Although Standard Chartered lowered its year-end target price to $2.80, this still represents more than double the current price, with expectations of $4 billion to as much as $8 billion in inflows through a spot XRP ETF. Adding to the optimism, Ripple CEO Brad Garlinghouse has expressed 90% confidence that the U.S. crypto market structure bill, the CLARITY Act, will pass by April, heightening expectations for regulatory clarity.

The derivatives market also signals mounting tension ahead of a potential breakout. Open interest has risen to $2.37 billion, while futures and options trading volumes are surging, indicating aggressive capital inflows. On major exchanges such as Binance and OKX, the long-to-short ratio is tilted more than two-to-one toward long positions. A decisive break above key resistance could trigger a massive short squeeze—buying pressure driven by the liquidation or covering of short positions—potentially fueling an explosive price rally.

Technically, XRP remains below its daily 50-day exponential moving average (EMA) at $1.67 and continues to form a descending triangle pattern. If support at $1.34 collapses, the price could fall to $1.20. However, a clear breakout above resistance at $1.52 would invalidate the bearish pattern and open the door to a strong upward trend. The outlet maintains that, provided XRP firmly defends the $1.12 to $1.15 bottom range, a bullish outlook based on favorable macro developments remains valid.

Disclaimer: This article is for investment reference only and we are not responsible for any investment losses arising from its use. The information provided should be interpreted solely for informational purposes.