Ripple lays claim to one of the strongest bull runs in its history as XRP takes off. The cryptocurrency reached $1.70 as of late November, a price not seen since May 2021, that’s a 240 percent rise in the month alone. XRP’s market capitalisation has grown from $78 billion to $96 billion, making it one of the most successful assets in the crypto market.
Strong fundamentals underpin XRP’s rally, from major legal and political developments. Last year the Court ruled in favor of Ripple’s favor in its case against the U.S. Securities and Exchange Commission (SEC). However, the SEC’s demand for the total of $2B in penalties was much less than the $250M fines ordered by the company.
XRP Targets $2 Amid Bullish Market Momentum
The SEC hinted that there’s still hope for an appeal. Paul Atkins, a pro-crypto advocate and former SEC commissioner, could reportedly get the job if President-elect Donald Trump appoints him to lead the SEC. This political shift could be a ripple that will spur a more friendly regulatory environment for Ripple and maybe even the broader crypto industry.
Additionally, Ripple investors are also likely to see some significant near-term catalysts. Such among them is the likeliness that the new administration will enable the much discussed passage of a spot XRP Exchange Traded Fund (ETF), as well as the long-awaited Initial Public Offering (IPO) for Ripple Labs.
In a further boost to its ecosystem, Ripple is developing RLUSD, a stablecoin pegged 1:1 to the US dollar. It is hoped that this will offer a revenue stream and expand the utility of Ripple’s blockchain network.
From a technical perspective, XRP has destroyed several vital resistance highs. A key technical threshold established in July 2023, $0.9340, was broken, and the currency has now soared past both $1 and, more importantly, its 50-week and 100-week moving averages.
Yet there is a tendency to be cautious because technical indicators like the Relative Strength Index (RSI) and the Stochastic Oscillator show signs of being overbought. Its rally could see a pull back before the next leg up, analysts said.
But the warning signals are there, and the market is still bullish. XRP’s next key target is at $1.9716, its April 2021 high. The token could test $2 as well, analysts add, with future projections also reaching a potential peak of $3.50, compared to $2.50 which would mean a rise of 110 percent compared to current prices.
At the time, the rise of XRP comes at a time of somewhat optimistic times for the overall crypto space, due to regulation clarity and innovation. The traction that Ripple’s strategic developments have collectively attained in 2023, coupled with trends in the market, contributes to XRP being a frontrunner when it comes to further development in the coming year in 2024.
With December approaching, everyone keeps an eye on Ripple and what to come that can carry XRP to new heights. Breaking through the $2 mark and beyond will depend, but the momentum gives the impression it could win out.
