The outstanding performance of Ripple's native token XRP continues, having surged again in the past 24 hours, with its price breaking above 2 USD for the first time since early 2018, and XRP has now surpassed SOL to become the third largest cryptocurrency by market capitalization.

About a month ago, after Trump's victory, the entire cryptocurrency market began to see remarkable growth. Initially, XRP's performance was somewhat sluggish, lagging behind other assets like DOGE.

However, once rumors surfaced that Gary Gensler, the chairman of the SEC, would resign after Trump took office, Ripple's token began an exciting upward trend.

What is causing the surge

XRP's extraordinary price performance stems from an increasing number of key partnerships, new product developments by Ripple Labs, the possibility of an XRP ETF, and unverified rumors about Elon Musk making a massive investment in XRP and Ripple.

Asset management company 21Shares applied for an XRP ETF on November 1, 2024, raising investor expectations that the U.S. Securities and Exchange Commission (SEC), likely to be restructured in January 2025, will approve the ETF application.

It was only confirmed until last week when Gensler officially announced that he would resign as chairman of the U.S. regulatory agency, which has been in a legal dispute with Ripple for about four years.

XRP surpasses TetherUSDT to become the third largest cryptocurrency.

On December 1, XRP's market capitalization was surpassed by Solana, and it has since remained above TetherUSDT.

1.00 USD, which also makes it the third largest cryptocurrency by total value.

Currently, XRP has broken above 2 USD and continues to rise. Last week, the price briefly fell to 1.3 USD, but bulls returned to push the price up by 50% weekly. Therefore, the token surged to 2.4977 USD earlier today, the first time since January 2018.

The confirmed breakout above 2 USD is expected to pave the way for new highs not seen in years, and it could become one of the best-performing assets in the market.

Meanwhile, the 21-day EMA is a reliable support level in this uptrend, while previous resistance levels are all located at these levels. Consolidating within this range for a period will greatly benefit the asset, allowing it to build momentum for subsequent increases.

Continuing to create new highs for years

The current price of XRP is approximately 2.4 USD, performing well since November 5, with an increase of up to 285% in less than 30 days. This price recently touched the crucial level of 1.95 USD and then entered a consolidation phase, with strong momentum aiming for the 3 USD mark. This consolidation indicates that XRP is building the necessary fuel for a potential breakout.

XRP tests key supply below 2 USD | Source: XRPUSDT chart on TradingView

Supported by strong market sentiment and growing demand, the price trend remains firmly bullish. The current successful confirmation of a breakout not only strengthens the bullish structure but may also drive XRP to unprecedented highs, consistent with the parabolic rebound forecast.

However, the consolidation near these levels indicates that XRP is facing temporary resistance. Market participants are currently focusing on key support areas to ensure that the current bullish momentum remains intact. If upward pressure continues, XRP's next target may quickly surpass historical levels, solidifying its position as one of the leading assets in the cryptocurrency space. Currently, as XRP gradually approaches the 3 USD threshold, it remains the focus of traders and investors.