Ripple's native token, XRP, soared 10% on Friday, hitting $1.43—a price level unseen since May 2021. This rally follows a 30% weekly gain, driven by bullish catalysts including regulatory shifts, institutional adoption, and robust on-chain activity.
Key Drivers Behind XRP's Price Rally
SEC Chair Gary Gensler’s Resignation Announcement
- Gensler confirmed he will step down on January 20, 2025, sparking optimism for a pro-crypto regulatory shift.
- Markets anticipate reduced enforcement pressure on Ripple, potentially resolving its long-standing SEC lawsuit.
WisdomTree XRP ETP Launch in Europe
- The Physically Backed XRP ETP debuted on major European exchanges (Xetra, SIX Swiss, Euronext).
- Enhances institutional accessibility, mirroring demand for future US XRP ETF approvals.
XRPL Network Activity Hits Record Highs
- DEX volume peaked at $3.5 million (Nov 15), with active addresses at 2024 highs.
- Open Interest (OI) surged to $2.43 billion, signaling strong futures market participation.
👉 Explore XRP's latest price trends
Technical Analysis: Can XRP Reach $1.96?
- Current Price: $1.43** (testing **$1.40 resistance).
Key Levels:
- Support: $1.27 (50% Fibonacci retracement).
- Target: $1.96 (April 2021 high).
- RSI Warning: Weekly RSI at 83 (overbought), suggesting potential pullback risks.
Weekly XRP/USDT Chart:
- Break above $1.40 could confirm upward momentum.
- Failure to hold gains may trigger profit-taking.
On-Chain Metrics Fuel Bullish Sentiment
XRPL DEX Activity:
- AMM-enabled DEX volume surged post-May 2024 upgrade.
- 80+ daily traders indicate growing ecosystem engagement.
- Open Interest: All-time highs reflect speculative demand.
FAQs: Addressing Key Investor Queries
1. Why did XRP surge today?
- Primary drivers: Gensler’s resignation, WisdomTree ETP launch, and record XRPL activity.
2. Is XRP overbought?
- Yes, RSI >80 suggests short-term overbought conditions, but fundamentals remain strong.
3. What’s the next price target for XRP?
- Bulls aim for **$1.96** if $1.40 resistance is breached.
4. How does the SEC lawsuit impact XRP?
- A favorable resolution could remove legal uncertainties, boosting adoption.
👉 Stay updated on XRP market movements
Conclusion
XRP’s rally combines regulatory optimism, institutional inflows, and network growth. While technical indicators flag overbought risks, the $1.96 target remains viable if bullish momentum sustains.
Disclaimer: This content is for informational purposes only. Always conduct independent research before investing.