XRP surged to its highest level in seven years, fueled by optimism over regulatory developments, despite the SEC’s latest appeal in its legal battle with Ripple Labs.
Key Highlights:
- XRP Price Surge: On Jan. 15, XRP reached $3.20, its highest since January 2018, before slightly retreating to $3.09 as of Jan. 16. Weekly gains exceed 32%, according to CoinMarketCap data.
- SEC Appeal: The rally coincided with the SEC’s Jan. 15 appeal against a July 2023 ruling by Judge Analisa Torres, which stated XRP sales to retail investors were not unregistered securities. The SEC aims to overturn this decision.
- Market Sentiment: Despite the legal appeal, investor sentiment remains optimistic. Ryan Lee, chief analyst at Bitget Research, attributes XRP’s rally to Ripple Labs’ partial legal victories and growing clarity in crypto regulation.
- Favorable Conditions: Lee noted that a crypto-friendly regulatory climate in the U.S. and the potential resolution of uncertainties could attract institutional investors, solidifying XRP’s position in the market. RippleNet’s growing adoption also boosts XRP’s appeal.
Future Catalysts:
- XRP ETFs: The potential approval of XRP exchange-traded funds (ETFs) in the U.S. could inject $3–6 billion in new investments, per JPMorgan estimates. Applications from major asset managers are under review, with decisions expected by late January.
- Regulatory Clarity: The upcoming inauguration of U.S. President-elect Donald Trump on Jan. 20 is anticipated to bring clearer crypto regulations and possibly introduce the Bitcoin Act, which aims to establish a strategic Bitcoin reserve.
Price Projections:
- Analysts foresee XRP reaching double-digit prices by 2025, with a potential target of $14, as suggested by crypto analyst Steph Is Crypto. A bullish pennant formation on the daily chart supports this outlook, with conservative targets at $5.
XRP’s rapid recovery from early January lows and bullish technical patterns position it as a strong contender for substantial growth in the coming years.
