Ripple (XRP) 2025: Functional rise and global payment role

Introduction

As of June 16, 2025, the trading price of Ripple (XRP) on Gate is 2.28 USDT. The XRP/USDT trading pair has a 24-hour trading volume of 22 million USDT. This performance reflects strengthened institutional partnerships, clearer regulatory guidance, and the classification of the XRP ledger (XRPL). These factors collectively underscore Ripple's growing reputation as a fast and low-cost bridge asset in cross-border payments.

XRP Price Dynamics and Market Background

In the first quarter of 2025, the price of Ripple fluctuated between $1.95 and $2.35, then stabilized in a consolidation range of $2.14–$2.29. The 100-day moving average, currently near $2.20, provides reliable support, indicating that a more stable, utility-driven demand is emerging compared to the speculative trading seen in earlier cycles. Although XRP remains below its historical high of $3.84 (January 7, 2021), its market capitalization of approximately $134 billion places Ripple among the top five most liquid digital assets. From January to May 2025, the XRPL burn mechanism removed 150,000 XRP—about 0.7% of the total supply—further reinforcing the gradual deflationary trend.

XRPL Technology and Deflationary Mechanism

The efficiency of Ripple (XRP) comes from the consensus protocol of the XRP Ledger, which achieves transaction finality in less than five seconds without the energy-consuming mining. The 2.3.0 software upgrade in November 2024 introduced dynamic fee adjustments, reducing the average transaction cost by 15%. This update also laid the groundwork for planned features such as Ethereum Virtual Machine compatibility and native lending modules. In the first half of 2025, the XRPL will burn an average of 30,000 XRP daily, leading to the permanent removal of over 180,000 tokens from circulation. These deflationary burns combine the tokenomics of XRP with actual network usage, benefiting long-term holders.

Ripple Strategic Partnerships and Integration

The practical application of Ripple is driven by RippleNet, a payment network that currently includes over 350 financial institutions across the Asia-Pacific region, Europe, and Africa. Its On-Demand Liquidity (ODL) service uses XRP as a bridge currency, with trading volume doubling from $500 million in the first half of 2024 to $1 billion in the first half of 2025. The Philippines-Japan and Mexico-U.S. corridors are particularly active, demonstrating the effectiveness of XRP in reducing settlement times and capital costs. In February 2025, Ripple strengthened its infrastructure by acquiring Hidden Road, an institutional finance automation platform. Two months later, Ripple obtained the RLUSD license from the New York Department of Financial Services, which is its stablecoin pegged to the U.S. dollar, simplifying the on-chain and off-chain processes for banks and custodians.

Ripple Regulation Milestones and Unresolved Issues

On December 22, 2024, the U.S. District Court for the Southern District of New York made a decisive legal victory, ruling that the secondary market trading of Ripple Coin does not constitute unregistered securities. This ruling prompted several major U.S. exchanges to relist XRP and allowed regulated custodians to provide qualified custody services. Despite this progress, there remains regulatory ambiguity surrounding the primary issuance of Ripple Coin—especially regarding the classification of tokens sold directly by Ripple under securities laws. Ongoing dialogue with regulators aims to clarify these remaining issues and further solidify the compliance framework for XRP.

Ripple Technology Outlook and Price Prediction for 2025

Analysts predict that XRP may have three potential trajectories in the fourth quarter of 2025. In a bullish scenario (30% probability), the continued expansion of ODL corridors and mainstream adoption of RLUSD could drive XRP above $2.80, potentially challenging the $3.50 resistance by the end of the year. In a neutral case (50%), XRP may trade between $2.00 and $2.50, based on a support at $2.20 and an upper limit near $2.50. In a bearish context (20%), a broader correction in the cryptocurrency market or new regulatory hurdles could lead to a price drop to $1.80. Current technical indicators—the Relative Strength Index (RSI) at 52 and a bullish Moving Average Convergence Divergence (MACD) crossover—suggest moderate upward potential while cautioning against overextension.

Main Risks of Ripple

Despite its advantages, Ripple faces various risks. Future changes in securities legislation could reignite compliance challenges in the U.S. or other regions. Emerging central bank digital currencies (CBDCs) and bank-issued stablecoins may directly compete with XRP's payment use cases. Observers also point out that Ripple Labs' substantial holdings of XRP and its governance influence raise concerns about centralization. Additionally, the price of Ripple remains sensitive to changes in macroeconomic sentiment, making it vulnerable during risk-averse periods. Finally, as decentralized finance (DeFi) applications based on XRPL expand, the network may encounter new smart contract vulnerabilities, necessitating vigilant security oversight.

Conclusion

Ripple (XRP) offers an appealing proposition for investors seeking a combination of fintech scalability and on-chain transparency. The current price is $2.28, and XRP provides an accessible entry point for those focused on practical-driven adoption rather than pure speculation. Looking ahead, key milestones to watch include the rollout of XRPL upgrades, growth indicators for ODL corridors, and the issuance volume of RLUSD. These indicators will suggest whether Ripple continues to evolve as a leading bridge asset in global payments or returns to volatility-driven trading.

Author: Blog Team *This content does not constitute any offer, solicitation, or advice. You should always seek independent professional advice before making any investment decisions. *Please note that Gate may restrict or prohibit the use of all or part of its services in restricted areas. For more information, please refer to the user agreement.