Ripple’s XRP has experienced a remarkable surge, ascending over 400% since early November and recently achieving a 2024 high of $2.90. This rally has propelled XRP to become the third-largest cryptocurrency by market capitalization, surpassing Tether.
The surge is largely attributed to the election of President-elect Donald Trump, whose administration is anticipated to adopt a more crypto-friendly regulatory stance. Notably, Trump’s appointment of Paul Atkins, a known crypto advocate, as the incoming chair of the Securities and Exchange Commission (SEC) has fueled optimism. Investors speculate that the SEC may reconsider its ongoing lawsuit against Ripple Labs, the company behind XRP, potentially leading to a favorable resolution.
Despite the recent gains, XRP has encountered volatility, with prices retreating to around $2.50 as traders secure profits. However, the overall sentiment remains positive, bolstered by expectations of regulatory leniency and the prospective approval of XRP-focused exchange-traded funds (ETFs). Asset management firms, including Bitwise and 21Shares, have filed applications for such ETFs, which could further enhance XRP’s market presence.
