XRP has started the new year on a positive note, now
ranking third on market capitalization. The cross-border payment-focused
cryptocurrency has now overtaken Tether’s USDT to become the third-largest
cryptocurrency with a market cap of more than $141 billion.
This achievement follows a significant rally driven by
favorable market conditions, increased investor interest, and shifting
regulatory landscapes. Data from CoinMarketCap currently shows that the token
is trading at $2.46. It has increased 2% and 15% in the past day and week,
respectively.
Market Capitalization Soars
XRP’s market capitalization surpassed Tether’s
capitalization, which was slightly above $137.4 billion at press time. This
shift coincides with the rollout of the European Union’s Markets in
Crypto-Assets Regulation (MiCA), which imposes stricter rules on stablecoin
issuers.
MiCA mandates full reserves and licenses for issuers
operating in the EU, prompting concerns about compliance among key players like
Tether. Notably, Coinbase Europe announced that it would delist USDT in December over MiCA
compliance concerns, a factor that could have negatively affected
the price of the stablecoin.
Looking at the broader timeframe, XRP has shown a
fluctuation in price on the monthly chart. Over the past year, XRP has delivered a strong
performance, rising more than 400% between November and December and peaking at
$2.7. The price increase was driven by events such as Donald Trump’s pro-crypto
presidential election victory and speculation around an XRP exchange-traded
fund (ETF).
Recently, WisdomTree became the fourth company to file for a spot in XRP ETF, joining other major issuers like Bitwise and 21Shares.
Ripple Labs also strengthened XRP’s momentum with the launch of Ripple USD
(RLUSD), a stablecoin aimed at facilitating cross-border enterprise payments.
A Message from Ripple Labs’ CEO
Meanwhile, the new year started with a massive XRP
transfer of 500 million tokens worth over $1 billion, tracked by blockchain
analytics firm Whale Alert. Ripple’s CEO Brad Garlinghouse expressed optimism
for 2025, citing “momentum and increased focus on real-world
utility.”
🔓 🔓 🔓 🔓 🔓 🔓 🔓 🔓 🔓 🔓 500,000,000 #XRP (1,070,455,137 USD) unlocked from escrow at unknown wallethttps://t.co/3GCjVkzkpQ
— Whale Alert (@whale_alert) January 1, 2025
Technically, XRP is in a clear uptrend, currently trading above the 50 and 200 moving averages. The price is approaching the $2.6 resistance level after bouncing off the $1.98 support level. The Relative Strength Index (RSI) is at 61, meaning the price could rise further before any
change in trend can be seen.
Happy New Year to the XRP Family and the entire crypto community!!!Excited for the year ahead! Momentum and increased focus on real world utility continues to build 🚀
— Brad Garlinghouse (@bgarlinghouse) January 1, 2025
With the regulatory climate becoming potentially more
favorable, particularly after SEC Chair Gary Gensler’s resignation, XRP appears
well-positioned to soar as high as $10 in 2025. ETF approvals and broader adoption of
Ripple’s payment solutions may continue to propel its market performance.
This article was written by Jared Kirui at www.financemagnates.com.
Source link
GIPHY App Key not set. Please check settings