XRP price wavered on Tuesday, even after Ripple Labs inked a major deal with Guggenheim Partners.
Ripple (XRP) token was trading at $2.27, slightly below this week’s high of $2.32 and 33 percent below the year-to-date high.
This price action came despite the launch of Digital Commercial Paper, a fixed-income asset secured by U.S. Treasuries, on the XRP Ledger. DCP, which has already processed over $280 million, is administered by Guggenheim Partners, a fund manager with $349 billion in assets under management.
DCP aims to leverage the XRP Ledger’s faster settlement and lower transaction costs to modernize how commercial paper is issued, transacted, and integrated into global treasury systems. In a statement, Markus Infanger, senior vice president at RippleX, said:
“Institutions are no longer asking if blockchain technology can support regulated financial products; they’re asking how they can deploy them at scale. The inception of DCP is a prime example of this shift and it expands the offering of institutional financial assets coming to the XRPL.”
The XRP Ledger is expected to continue growing in the coming months, which could help support XRP’s price, as some transaction fees on the network are burned.
One key catalyst for the ledger is the recent Hidden Road acquisition. Ripple has announced that it will shift its $10 billion in daily transactions to the XRP Ledger this year.
The other catalyst for the ledger is the Ripple USD (RLUSD) stablecoin, which has attracted over $388 million in assets a few months after its launch.
XRP price technical analysis
The daily chart shows that XRP peaked at $3.40 on January 16 before pulling back to its current level of $2.2697. It remains below the descending trendline that connects the highest swing points since January 16.
The token has also formed a descending triangle pattern, a common bearish continuation signal. It is consolidating at the 50-day and 100-day Exponential Moving Averages. As long as XRP remains below the descending trendline, the bearish outlook will hold. The first support target is the lower boundary of the triangle, followed by the neutral level at $1.
