Ripple Price Forecast: XRP remains under pressure as licensing operations expand across Europe

• XRP lags behind other crypto majors, declining for the second consecutive day on Thursday.
• Ripple secures preliminary approval for an Electronic Money Institution license from the CSSF, Luxembourg's financial regulator.
• The EMI license will scale Ripple Payments' infrastructure across Europe, support institutional clients and unlock dormant capital.

Ripple (XRP) is trading lower above support at $2.08 at the time of writing on Thursday, as the broader cryptocurrency market mildly pulls back following a bullish start of the week.

Despite a two-day correction in the price of XRP, market sentiment remains relatively positive, as reflected by steady inflows into spot Exchange Traded Funds (ETFs). As reported, US-listed XRP ETFs posted almost $11 million in inflows on Wednesday. The cumulative inflow stands at $1.26 billion, and the net assets at $1.56 billion, indicating steady investor confidence.

Ripple targets cross-border payments growth in Europe

Ripple announced on Wednesday that it has secured a preliminary approval for its Electronic Money Institution (EMI) license from Luxembourg's Commission de Surveillance du Secteur Financier (CSSF).

The EMI license marks a major step toward scaling cross-border transfers on the Ripple Payments infrastructure across Europe. Ripple believes that the approval will also boost support for institutional clients, ensuring seamless, real-time and 24/7 payments.

Monica Long, President at Ripple, commended the European Union's (EU) progressive approach to crypto regulation.

Long stated that “By extending Ripple’s licensing portfolio and evolving our payments solution, we are doing more than just moving money. We are managing the end-to-end flow of value to unlock trillions in dormant capital and moving legacy finance into a digital future.”

The CSSF approval follows the company's receipt of its EMI licence and Crypto Asset Registration from the United Kingdom’s (UK) Financial Conduct Authority (FCA) last week. In total, Ripple has received 75 regulatory licenses globally, enabling it to support institutions' and individuals' digital asset needs.

Technical outlook: Can XRP hold above key support?

XRP is trading above support provided by the 50-day Exponential Moving Average (EMA) at $2.08 at the time of writing on Thursday. The Relative Strength Index (RSI) has declined to 54 on the daily chart, indicating that bullish momentum is gradually fading.

An extended drop in the RSI below the midline would suggest the overall outlook has shifted from bullish to bearish, potentially accelerating losses below the pivotal $2.00 level. Beyond this area, XRP could target the January low of $1.82 and April’s low of $1.61.

Still, the Moving Average Convergence Divergence (MACD) indicator holds slightly above the red signal line, which may encourage investors to lean into risk, adding to buying pressure.

A decisive break above the 100-day EMA at $2.21 is needed to validate XRP’s short-term bullish turnaround. Traders will anticipate more resistance at the descending trendline and the 200-day EMA at $2.33.