On Tuesday (December 3), the price of XRP soared to a peak of $2.71, with a monthly increase exceeding 400%. As Bitcoin's dominance recedes, a new altcoin season is emerging, with more funds flowing into mid-cap tokens. The market bets that after Donald Trump takes office, the U.S. SEC will drop its allegations against XRP being a security, and Wall Street fund WisdomTree has submitted an S-1 filing for an XRP ETF.
(Source: FX168)
WisdomTree submitted the latest XRP ETF S-1 filing to the U.S. SEC on Monday, catching the attention of Wall Street investors. Notably, XRP has recently experienced a strong rebound, surpassing the market capitalization of the Solana blockchain token SOL and the world's largest dollar-pegged stablecoin USDT. Furthermore, the filing also showcases market confidence in digital assets and their regulatory dynamics, especially after Trump wins the election.
(Source: SEC)
The XRP ETF S-1 filing submitted by WisdomTree is registered in Delaware, sparking optimism across the cryptocurrency industry. This development comes after a significant surge in XRP, highlighting its growing market relevance.
Investors have shown renewed enthusiasm for digital assets, viewing this ETF as a milestone for broader institutional acceptance. Moreover, before WisdomTree's application, other major players such as Bitwise, 21Shares, and Canary Capital had submitted similar applications to the U.S. SEC.
Notably, the momentum for XRP is part of a larger cryptocurrency resurgence driven by Trump's recent electoral victory. Market participants expect the Trump administration to introduce more cryptocurrency-friendly policies, which could accelerate the approval of cryptocurrency ETFs. Experts predict that under a Republican government, a large number of altcoins will launch ETFs in the U.S.
Additionally, Ripple CEO Brad Garlinghouse expressed optimism about XRP's potential growth. He also revealed ongoing negotiations with the Republican government, further boosting market confidence. However, the timing is noteworthy as SEC Chairman Gary Gensler will step down in January 2025.
Many believe he is an anti-cryptocurrency regulator, and his departure could usher in leaders who support cryptocurrency reform. Coinbase executives recently stated that under Trump’s leadership, specialized cryptocurrency legislation could be passed 'quickly', indicating a favorable environment for institutional adoption of cryptocurrency.
XRP Technical Analysis
The popular on-chain analytics platform Santiment emphasizes that XRP recently surged to a new high since January 8, 2018. Large holders or wallets owning between 1 million and 10 million XRP have accumulated approximately 679.1 million tokens, worth about $1.66 billion, in just three weeks. Furthermore, for the first time in XRP's over eight-year history, the total number of non-bearish wallets has surpassed 5.5 million.
(Source: Santiment)
Additionally, CryptoQuant founder and CEO Ki Young Ju stated that Coinbase whales are the main force driving up XRP. He noted that in the past 30 days, Coinbase's minute-level price premium during the sustained price rise ranged from 3% to 13%. In contrast, South Korea's leading cryptocurrency exchange Upbit has more XRP investors than Binance, but so far, the premium is not significant.
(Source: CryptoQuant)
FXEmpire analyst Yashu Gola stated that since November 2024, the price of XRP has risen over 400%. However, bulls are now facing increasing pressure to maintain the upward momentum, with cryptocurrency expected to drop to $2.175 in December, about a 20% decline from current price levels.
As bearish prospects emerge, XRP trades within the critical resistance range of $2.72-$2.85, aligning with the 4.236 and 4.618 Fibonacci retracement levels. This range coincides with the rising trend line resistance on the four-hour chart, which has recently corrected 13-20% towards the parabolic support target.
Resistance levels being blocked could trigger a pullback to the target of $2.175, aligning with the 2.618 Fibonacci extension level, parabolic support, and the 20-4H exponential moving average.
The Relative Strength Index (RSI) is above 82, far exceeding the 70 threshold, indicating that XRP is in the overbought region, further increasing the likelihood of a short-term price adjustment in December.
XRP must break through the resistance level of $2.85 to decisively negate the bearish outlook.
(Source: FXEmpire)
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