XRP’s Critical Week: CPI, CLARITY Act, and $2.70 Breakout Potential

According to crypto pundit Bird, this week is significant for XRP due to three aligned factors. First, the Russell 2000 index has rallied to new all-time highs. Bird’s analysis points to a historical pattern where such milestones for the small-cap index have preceded major price runs for XRP. Second, key U.S. macroeconomic data is due, with Consumer Price Index (CPI) and Producer Price Index (PPI) inflation figures set for release. These reports are known to inject significant volatility into the cryptocurrency market, often acting as a trigger for sharp price movements across assets like XRP and Bitcoin.

The third and potentially most consequential factor is regulatory. The long-awaited markup of the market structure bill, known as the CLARITY Act, is scheduled for Thursday. This legislative step is critical as it could provide the legal clarity that the digital asset sector, and XRP in particular, has long sought. For Ripple and XRP, clear regulatory guidelines could significantly boost operational certainty and drive broader adoption, directly impacting the asset’s valuation. Bird asserts that with “the charts and macro aligning,” a break above the $2.70 resistance level could quickly send XRP to a new all-time high, surpassing its January peak near $2.30.

While Bird focuses on macro and regulatory catalysts, crypto analyst CasiTrades provides a detailed technical roadmap for XRP’s immediate future. Her analysis presents two starkly different paths hinging on key price levels. The bullish scenario envisions XRP rallying to approximately $2.26 to complete what she terms a “subwave 2.” For this upward move to gain sustained momentum, the next critical step would be for XRP to break above and firmly establish $2.41 as a support level.

However, CasiTrades warns of a sharp bearish alternative. If XRP’s price action remains “corrective” and fails to gather strength, it could face a severe rejection. This would initiate a “subwave 3 down,” potentially breaking the $0.50 support level (though this appears to be a typographical reference in the source, as current price is above $2.00) and targeting a deeper fall toward the $1.65 “macro support” zone. This technical framework underscores the high-stakes decision point the market faces, even as participants monitor the fundamental developments surrounding the CLARITY Act and inflation data.

At the time of reporting, XRP price was trading around $2.06, reflecting a minor decline over the previous 24 hours. Despite this short-term dip, the altcoin remains up over 10% year-to-date, though it has retraced significantly from its yearly high near $2.30. This context is important for understanding the analysts’ projections; a move to $2.26 or beyond would represent a substantial recovery and breakout.

The underlying sentiment from commentators like Bird carries a notable conviction. He has suggested that if XRP and the broader crypto market do not record significant gains amid these favorable conditions—the Russell 2000 high, regulatory progress, and typical CPI volatility—it could be evidence of market manipulation. This perspective highlights the frustration among some XRP proponents who believe the asset is fundamentally undervalued, particularly relative to its potential utility within Ripple’s ecosystem should regulatory clarity be achieved through legislation like the CLARITY Act.