XRP Falls but Could Rally to $5 After ETF and Bank Adoption.

SEC settlement, ETF inflows and Japanese bank adoption boost XRP's institutional prospects and could push the price toward $5.

  • XRP surged to a new all-time high in 2025 but has fallen since October amid a broader market decline.
  • The closure of the SEC vs. Ripple lawsuit earlier this year provided legal clarity around the token.
  • Banks in Japan have adopted the XRP Ledger for cross-border payments, and U.S. pro-crypto legislation is expected to follow.
  • Several spot XRP ETFs launched in 2025; ETF inflows were a major driver for Bitcoin and Ethereum in 2025 and could likewise affect XRP.

XRP, the token associated with Ripple, reached a new all-time high in 2025 but has lost ground since October amid a broader crypto market downturn. The settlement of the SEC vs. Ripple case earlier this year removed significant legal uncertainty about the asset.

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Banks in Japan have increasingly used the XRP Ledger for cross-border transactions, citing its suitability for remittance services. Remittance — the transfer of money across borders, often by individuals or businesses — is a key use case for the ledger.

Observers noted that anticipated pro-crypto legislation in the U.S. could prompt American banks to adopt existing infrastructure like Ripple’s rather than building new networks from scratch. Such institutional adoption would likely affect investor sentiment.

2025 also saw the launch of several spot XRP ETFs. ETF — exchange-traded fund: a pooled investment vehicle that trades on stock exchanges. Spot ETF — an ETF that holds the underlying asset rather than derivatives. ETF inflows helped drive record highs for Bitcoin and Ethereum in 2025, and similar demand for XRP ETFs was cited as a potential price catalyst.

The article notes that, if institutional adoption and renewed ETF inflows materialize, XRP could potentially reach the $5 level under those conditions.

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