On May 4, XRP experienced a notable price increase, climbing from $1.3840 to $1.4065 during early Asian trading hours. This upward movement was accompanied by a significant surge in trading volume, indicating genuine market interest rather than a low-liquidity fluctuation. The rally paralleled Bitcoin’s recovery above $80,000, which provided additional momentum to the broader cryptocurrency market.
Analysts are closely watching the $1.45 level as a key resistance point. According to Glassnode data, approximately 36.8 billion XRP, representing around 60% of the total circulating supply, are held at an average cost basis of $1.44. This concentration creates a formidable supply wall that has rejected XRP four times in 2026. The most recent rejection occurred on April 17, when XRP briefly touched $1.50 following Rakuten’s announcement of XRP payment integration for its 44 million Japanese users.
The potential for further gains is tied to regulatory developments, particularly the CLARITY Act. Standard Chartered analyst Geoffrey Kendrick projects that if the bill advances through the Senate Banking Committee before May 21, it could unlock $4 to $8 billion in additional inflows from XRP exchange-traded funds (ETFs). This catalyst is seen as critical for breaking through the $1.45 resistance level.
Currently, XRP traders are focusing on whether the $1.40 level can hold as support. A sustained move above $1.41 to $1.42 would signal bullish momentum, while a drop below $1.40 might indicate a false breakout. The recent price action follows a period of ETF inflows, with XRP spot ETFs recording $81.63 million in April across a 20-day streak that ended on April 30. The broader market recovery on May 4 has reignited buying interest, offering a fresh opportunity for XRP to challenge higher resistance levels.