Ripple’s XRP has surpassed BNB to become the fifth-largest cryptocurrency by market capitalization. XRP’s market cap hit $99 billion on Friday (29), its highest value in more than three years.
XRP is seeing strong bullish momentum as the altcoin surged over 230% in November.
Is XRP Price on Track for a Historic Recovery?
Despite being one of the largest altcoins in the market, XRP has mostly underperformed in every bull market over the past three years. Ripple’s long-running legal battle with the SEC has significantly impacted the altcoin’s market activity.
However, long-term holders of the token are finally seeing a potential reward. Donald Trump’s re-election and his promise of regulatory clarity have generated notable institutional interest in the token.
XRP price throughout November 2024. Source: BeInCrypto
Current SEC Chairman Gary Gensler has been a constant thorn in Ripple’s side. However, his resignation earlier this month has sparked optimism that Ripple could finally get out of the SEC’s crosshairs.
This optimism has been reflected in recent actions by large institutional investors. Last week, WisdomTree, one of the largest global asset managers, filed for an XRP ETF in Delaware. This was the third ETF filing for XRP, as Bitwise and Canary Capital entered the fray in October.
Ripple is preparing for major upgrades to the XRP Ledger, designed to increase liquidity and attract institutional investors. This surge in activity could drive hundreds of millions into XRPL tokens, especially in the DeFi sector, influencer Brett wrote on X (formerly Twitter).
If approved, an XRP ETF would attract more institutional funds to the altcoin and potentially increase its market demand. The same trend has occurred with BTC, as the approval of Bitcoin ETFs has seen increased institutional demand for the cryptocurrency.
More importantly, the Trump administration is likely to provide an ideal regulatory landscape for cryptocurrencies in 2025. The president-elect has reportedly considered reducing the capital gains tax for all US-based cryptocurrencies, including XRP.
It’s also worth noting that Ripple CEO Brad Garlinghouse has been actively donating to Trump’s campaign. Additionally, he recently donated $25 million to the US midterm elections, even before Trump’s administration began in January.
Thus, we will likely see a very favorable regulatory landscape for XRP in the US, which will potentially increase demand for altcoins.
The article XRP surpasses BNB and reaches US$ 100 billion in market value appeared first on BeInCrypto Brasil.
