XRP Price Soars 30% After Trump’s Crypto Reserve Inclusion; Is It Time to Buy the Dip?

President Donald Trump’s recent announcement of XRP’s inclusion in his proposed cryptocurrency reserve sent the altcoin’s price soaring by 30% on Sunday. The move quickly pushed XRP into overvalued territory, according to on-chain data.

However, the initial surge was short-lived as profit-taking ensued, driving XRP back into undervalued levels.

Market experts are now eyeing XRP’s Market Value to Realized Value (MVRV) ratios, which indicate that the altcoin is currently undervalued. Santiment reports that XRP’s seven-day and 30-day MVRV ratios stand at -6.85% and -6.36%, respectively.

Historically, negative MVRV ratios have presented buying opportunities for traders looking to capitalize on discounted prices and potential bullish pressure in the future. XRP’s current ratios signal a potential opportunity to "buy the dip" and aim for higher gains.

Despite the recent price dip, XRP's positive funding rate of 0.0004% highlights the continued optimism among futures market participants.

With XRP currently trading at $2.37, there is speculation that a surge in demand could propel the altcoin towards resistance at $2.93. Breaking above this level could see XRP targeting its previous all-time high of $3.40, last seen on January 16.

On the other hand, if the downtrend continues, XRP’s price may dip to $2.13. As traders assess the market signals, the question remains: Is it time for the bulls to take control of XRP’s price trajectory?