The recent surge in XRP’s price has been attributed to a “leverage-driven pump” by CryptoQuant community analyst Maartunn. XRP, currently priced at $1.72, has seen a 16.4% increase in the past 24 hours, making it one of the best-performing cryptocurrencies in the top 10. This surge in price has been accompanied by a 37% increase in open interest in XRP futures. In the last 30 days, XRP has climbed 232%, significantly outperforming the average return of the crypto market, which stands at 57.3%.
The bullish news surrounding XRP’s recent price increase began almost a week after the US election results, which saw former President Donald Trump being elected for a second term. Trump’s crypto-friendly approach during his campaign brought optimism to investors, leading to gains in various altcoin prices, including XRP. The price of XRP crossed the $1 threshold for the first time since November 2021. The most significant pump in XRP’s price occurred after the announcement of SEC chair Gary Gensler’s resignation, with the price soaring by 35% to reach $1.60. Gensler’s administration took a strict regulatory approach towards the crypto industry, with the SEC cracking down on major firms like Binance, Kraken, Coinbase, and Ripple.
The ongoing legal battle between Ripple and the SEC has been a key factor impacting XRP’s price movement. The SEC has been trying to prove in court that XRP sales were an unregistered securities offering. With Gensler’s departure and the possibility of a Trump administration, there is speculation that the lawsuit may be dismissed, making XRP a more attractive investment option. Additionally, Ripple has made significant developments recently, including investing in Bitwise’s XRP fund and launching the first tokenized money market fund on its XRP Ledger.
Overall, the positive news surrounding XRP’s recent price surge, coupled with developments within Ripple, has fueled investor optimism towards the cryptocurrency. The possibility of regulatory clarity in the US, as well as potential advancements in the legal battle with the SEC, have contributed to the bullish sentiment surrounding XRP. As the cryptocurrency market continues to evolve and navigate regulatory challenges, XRP’s recent performance highlights the potential for growth and investment opportunities within the space. Investors should continue to monitor developments within the industry to make informed decisions regarding their cryptocurrency investments.
