NAIROBI (CoinChapter.com) — XRP has gained attention with a reported 230% price surge over the past year. Investors now question whether the rally can sustain its momentum or face a pullback.
XRP/USD 1-year price chart. Source: CoinMarketCap
In Q4 2024, XRP strengthened its position among the top cryptocurrencies. It surpassed Binance Coin (BNB) to become the fourth-largest digital asset by market capitalization, now valued at $118 billion. This achievement followed a price jump from $0.58 to over $2 within three months, reflecting a 3x increase in value during that period.
SEC Shake-Up Brings Speculation on XRP’s Legal Battle
The 2024 U.S. Presidential election brought changes that could impact the crypto sector. Former SEC Commissioner Paul Atkins, a known advocate for crypto, was nominated by Donald Trump to replace Gary Gensler as SEC chair. While this transition has not yet occurred, the nomination has sparked speculation about a potential shift in regulatory policy.
Trump vows to cut regulations, boost crypto industry. Source: X
XRP’s ongoing legal battle with the SEC remains a focal point. The case, which many in the crypto community view as regulatory overreach, could see renewed momentum if leadership at the SEC changes.
Additionally, Trump’s commitment to regulatory reform, including the proposed “10-for-1” rule to eliminate outdated regulations, has raised optimism about a more crypto-friendly environment.
Ripple’s RLUSD Stablecoin Gains Traction
Ripple achieved a major milestone in Dec. 2024 with the New York Department of Financial Services (NYDFS) approving its stablecoin, RLUSD. This approval places RLUSD among a select group of assets cleared for institutional use, bolstering its credibility for central bank digital currency (CBDC) initiatives.
RLUSD’s volume rose 170% in a single day, driven partly by concerns over USDT delistings in Europe. Ripple’s entry into the stablecoin market could increase its presence in cross-border payments and CBDCs, positioning RLUSD as a competitor to established stablecoins.
Whales Are Betting Big on XRP—Should You?
In late Nov. 2024, whales bought $526 million worth of XRP—the highest accumulation in three years. This buying spree suggests that big players are banking on continued gains.
XRP Whales Accumulate 453M Tokens, Marking 3-Year High. Source: Armando
The Fear and Greed Index further supports this sentiment, showing that market participants remain cautious rather than overly bullish. This suggests room for additional growth without immediate risk of overbuying pressure.
XRP’s recent rally underscores its potential, but current price levels warrant careful consideration. The outcome of Ripple’s legal case with the SEC and its ability to expand RLUSD adoption will likely determine future price movements.
