Ripple’s price has risen to a crucial resistance level as the company’s chief executive speculated on potential spot exchange-traded funds (ETFs). The XRP token surged by 6% on Wednesday, retesting the key resistance point at $0.6378, its highest point this month.

Ripple CEO on XRP ETF

In a recent interview, Ripple CEO Brad Garlinghouse discussed the potential for XRP ETFs following the Securities and Exchange Commission’s (SEC) approval of spot Bitcoin and Ethereum ETFs. The SEC’s approval of spot Bitcoin ETFs in January attracted over $17 billion in assets under management. On Tuesday, the agency also approved spot Ethereum ETFs.

“We think it makes sense for the XRP…”

Garlinghouse expressed optimism that the SEC would receive more token applications and hinted at a possible connection between BlackRock and Ripple launching an XRP ETF in the USA. He also mentioned the potential for ETFs based on baskets to diversify risks, such as a fund tracking the top ten biggest cryptocurrencies or the largest layer-1 tokens.

Given that Ripple is the sixth-largest cryptocurrency globally, with a market cap of over $35 billion, there is a strong case for an XRP ETF. Ripple partially won an SEC lawsuit in 2023, with a judge ruling that XRP was not a security, implying minimal pushback from the SEC. XRP is also a highly liquid cryptocurrency, with a daily volume exceeding $1.5 billion.

Besides Ripple, other cryptocurrencies like Solana, Chainlink, and Cardano could also attract ETF issuers’ attention.

Ripple Price Tests Key Level

XRP’s price has risen to a crucial support level that could determine its next move. The $0.6378 level is significant as it marks the highest point this month. For XRP to invalidate the double-top pattern, a common bearish reversal sign, it needs to move above this level.

Additionally, XRP is close to forming a golden cross pattern, where the 200-day and 50-day moving averages intersect. Historically, this pattern often leads to further price increases. The last occurrence in October 2023 led to a 44% surge.

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