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Will XRP price rebound as Brad Garlinghouse predicts $10 trillion flowing to XRPL?

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xrp price

XRP price continued its downtrend in February despite notable catalysts, including higher ETF inflows than Ethereum and Bitcoin, the launch of the permissioned DEX feature, and substantial inflows of real-world assets.

Summary

  • XRP price dropped into a bear market as the crypto market crash continued.
  • Brad Garlinghouse expects XRPL to have over $10 trillion in assets over time.
  • Technical analysis points to more XRP weakness before rebounding.

Ripple (XRP) token dropped to a low of $1.1137 in February, its lowest level since November 2024, and 70% below its all-time high.

Some key XRP metrics did well in February, even as the crypto market crash gained steam. For example, spot XRP ETFs added close to $60 million in inflows, while Bitcoin and Ethereum funds shed over $206 million and $369 million, respectively.

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The XRP Ledger network also experienced strong inflows, with the amount of money in its real-world assets network rising by 10% to $2 billion. That amount is much higher than Solana’s $1.8 billion.

Brad Garlinghouse, Ripple’s CEO, predicted that over $10 trillion in assets would move to the network. 

He cited the ongoing surge in institutional-scale capital and a structural shift in global finance, where most assets are moving on-chain. For example, data compiled by DeFi Llama shows that the total RWA on-chain capital market capitalization has soared to over $20.8 billion.

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Some of the top companies that are launching tokenized assets are blue-chip names like BlackRock, WisdomTree, Franklin Templeton, and Fidelity. 

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Garlinghouse’s statement came two weeks after the developers launched Permissioned DEX, a tool allowing institutions to park the in the decentralized finance industry in a secure and regulated manner. 

Also, Ripple Labs recently received a banking charter from the Office of the Comptroller of the Currency. As such, it is positioning itself as an all-rounded platform offering various services to companies in the financial services industry.

XRP price technical analysis 

xrp price
Ripple price chart | Source: crypto.news

Technical analysis suggests that the XRP price remains in a technical bear market after plunging by double digits in the past few months. 

Ripple is about to form a mini death cross pattern, which happens when the 50-week and 100-week Exponential Moving Averages cross each other. This is a common bearish continuation sign in technical analysis.

The Relative Strength Index has dropped and is hovering slightly above the oversold level of 30. The Percentage Price Oscillator has also continued falling and is at its lowest level in years. It also formed a big double-top pattern at $3.38 and a neckline at $1.6143.

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Therefore, despite its strong fundamentals, there is a likelihood that it will continue falling in the near term. The initial target will be at $1.1137, its lowest level in February. A move below that level will point to more downside, potentially to $1.

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Crypto World

Aave’s TVL Falls $8B After $293M Kelp DAO Hack

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Aave’s TVL Falls $8B After $293M Kelp DAO Hack

Total value locked on decentralized lending protocol Aave dropped by nearly $8 billion over the weekend after hackers behind the $293 million Kelp DAO exploit borrowed funds on Aave, leaving roughly $195 million in “bad debt” on the protocol and triggering withdrawals.

Data from DeFiLlama shows that Aave’s TVL fell from about $26.4 billion to $18.6 billion by Sunday, losing the top spot as the largest DeFi protocol. 

Aave v3’s lending pools for USDt (USDT) and USDC (USDC) are now at 100% utilization, meaning that more than $5.1 billion worth of stablecoins cannot be withdrawn until new liquidity arrives or borrows are repaid. 

$2,540 is available to be withdrawn from the $2.87 billion USDT pool on Aave v3 at the time of writing. Source: Aave

Aave’s TVL fall shows how rapidly risk from a single security incident can spread throughout the broader, interconnected DeFi lending market, potentially leading to a severe liquidity crisis.

The incident began on Saturday when hackers stole 116,500 Kelp DAO Restaked ETH (rsETH) tokens worth about $293 million from Kelp DAO’s LayerZero-powered bridge and used them as collateral on Aave v3 to borrow wrapped Ether (wETH).

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Crypto analytics platform Lookonchain said the move created about $195 million in “bad debt” on Aave, which contributed to the Aave (AAVE) token tanking nearly 20% from $112 on Saturday at 6:00 pm UTC to $89.5 about 25 hours later. 

Lookonchain noted that some of the largest crypto whales to withdraw funds from Aave were the MEXC crypto exchange and Abraxas Capital at $431 million and $392 million, respectively.

Source: Grvt

Several crypto networks and protocols tied to rsETH or the LayerZero bridge have paused use of the bridge until the problem is resolved, including DeFi platform Curve Finance, stablecoin issuer Ethena and BitGo’s Wrapped Bitcoin (WBTC).

Aave has frozen several rsETH, wETH markets

Shortly after the Kelp DAO exploit, Aave said it froze the rsETH markets on both Aave v3 and v4 to prevent any suspicious borrowing and later stated that rsETH on Ethereum mainnet remains fully backed by underlying assets.

WETH reserves also remain frozen on Ethereum, Arbitrum, Base, Mantle and Linea, Aave said.

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This incident marks the first significant stress test of Aave’s “Umbrella” security model, which was introduced in June 2025 to provide automated protection against protocol bad debt while enabling users to earn rewards.

Related: Aave DAO backs V4 mainnet plan in near-unanimous vote

Earlier this month, the Bank of Canada found that Aave avoided bad debt in its v3 market by using overcollateralization, automated liquidations and other strategies that shifted risk to borrowers.

In comments to Cointelegraph, Aave defended its liquidation-based model, framing it as a core safety mechanism that protects lenders while limiting downside for borrowers.

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It comes as Aave parted ways with its longest-standing DeFi risk service provider, Chaos Labs, on April 6, following disagreements over the direction of Aave v4 and budget constraints.

Magazine: Are DeFi devs liable for the illegal activity of others on their platforms?