XRP Surges to 3rd Place, Up 370% Since Trump’s Win, as Ripple’s RLUSD Gets Ready for Dec. 17 Launch

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As a seasoned crypto investor with a knack for spotting trends and navigating market fluctuations, I’ve seen my fair share of ups and downs in this exciting yet tumultuous world. The surge of XRP in 2024 has been nothing short of breathtaking, particularly given its association with the Trump trade.

In simpler terms, by the year 2024, XRP – a cryptocurrency linked to Ripple Labs – has managed to secure a spot among the top-performing assets. This digital currency was even nicknamed by CNBC as the “standout performer” or “major victor” in what is often referred to as the “Trump trade.

XRP is the biggest winner of the Trump trade but investors are split on how far its rally can run

— CNBC (@CNBC) December 14, 2024

Following Donald Trump’s win in the 2024 U.S. presidency, the value of XRP skyrocketed by approximately 370% due to speculation among investors that a more welcoming regulatory climate might be established under the new leadership.

Currently, XRP is being exchanged for approximately $2.51. Over the last 24 hours, this has resulted in a 4.0% rise, and within the past hour, it’s seen an additional 6.0% increase. This growth has boosted its market value to a substantial $144.30 billion, maintaining XRP’s status as the third most valuable cryptocurrency, trailing only Bitcoin and Ethereum.

As I reflect on this recent achievement, it’s important to acknowledge that we haven’t quite reached the historic peak of XRP back in January 2018 when its value soared to $3.40. However, this milestone certainly warrants attention as part of our ongoing journey.

From January 2024 until nearly the end of the year, XRP’s price remained relatively stable without much fluctuation. During the period from February to October, its value mainly stayed below $0.80 due to the crypto market facing regulatory challenges and liquidity issues. However, starting in late October, there was a significant change as investors started considering the possibility of a more crypto-friendly U.S. government under Trump’s leadership. This anticipation led to XRP’s price surge in early November, resulting in a prolonged upward trend that brought prices close to record highs set over several years.

The surge in XRP’s value can be attributed to increasing optimism about potential changes in U.S. regulations. With Donald Trump back in the White House, there is growing anticipation for a more favorable stance towards cryptocurrencies. Since his re-election, Trump has appointed several individuals known for their pro-crypto views to key positions within his administration. For instance, David Sachs, a venture capitalist and former COO of PayPal, has been named as the White House’s Crypto and AI Czar, indicating an enhanced interest in digital assets and innovative technologies. Furthermore, Scott Besant has been chosen as the Treasury Secretary, while Paul Atkins, a long-standing advocate for less restrictive crypto regulations, has been proposed as the new SEC Chair. These appointments have further fueled market confidence.

The nomination of Atkins carries great weight for Ripple Labs and XRP. The ongoing legal dispute between the SEC and Ripple, which claims XRP is an unregistered security, has been a persistent issue affecting the asset’s value. Investors are optimistic that under Atkins’ leadership, a more accommodating SEC might either resolve or dismiss this case, paving the path for increased XRP acceptance in the market.

Furthermore boosting optimism, Ripple unveiled on December 16, 2024, the global launch of its highly anticipated stablecoin, RLUSD (Ripple USD), set for December 17, 2024. This stablecoin is engineered to be robustly suitable for enterprises and is pegged at a rate of 1:1 with the U.S. dollar. Its purpose is to improve institutional liquidity, trust, and compliance within Ripple’s network.

Ripple announced that RLUSD will initially be offered across various prominent platforms such as MoonPay, Uphold, CoinMENA, Bitso, and Archax, with more partnerships to be established soon. This stablecoin is set to launch on both the XRP Ledger and Ethereum blockchain for enhanced accessibility and compatibility.

David Schwartz, the CTO of Ripple, earlier alerted the community about the possibility of supply shortages when RLUSD was first launched, which might cause temporary fluctuations in its value. However, he assured users that these brief deviations would swiftly return to normal, as built-in arbitrage mechanisms work to keep RLUSD’s value fixed at $1. Schwartz underscored the main objective of RLUSD is to ensure price consistency, encouraging caution against excessive speculative activities that could be irrational.

The price of XRP jumped right after Ripple’s RLUSD announcement, indicating increased enthusiasm about its part in Ripple’s expanding ecosystem. Some people within the XRP community suspect that RLUSD might indirectly boost demand for XRP, especially since it improves liquidity and adoption for institutional cross-border transactions by enhancing stability.

Currently, with XRP having surged by over 370% ever since Donald Trump’s election win and currently trading above $2.50, investors remain intrigued as they monitor the market to determine if this rally can propel XRP back to its record high of $3.40.

2024 saw impressive growth in XRP’s price due to several factors: renewed optimism about regulation under the Trump administration, the expected resolution of Ripple’s legal disputes, and mounting interest in RLUSD. With its upcoming launch and increasing institutional adoption, Ripple’s ecosystem appears primed to ride this wave of excitement.

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2024-12-16 20:18