XRP has gained more than 55% in one week, approaching the symbolic threshold of $2.5.
The XRP community is in full euphoria. Ripple's cryptocurrency, which has been on a roller coaster ride for years, is booming. At 10:00 a.m. this Monday, December 2, XRP is trading at $2.28, gaining 18% in one day and especially 55% in one week. The crypto is approaching the symbolic threshold of 2.5 dollars.
In the space of a week, XRP has become the third most capitalized cryptocurrency on the market, just behind bitcoin and ether, with more than $130 billion in capitalization. Launched in 2012, XRP was still in seventh place among the most capitalized cryptocurrencies in mid-November, with “only” $46 billion in capitalization.
How can this sudden increase be explained? On the one hand, the Ripple company should launch, around December 4, its own stablecoin, Ripple USD (RLUSD), which would compete with the two largest stablecoins on the market, USDT and USDC, according to Fox Business.
Furthermore, this increase is part of a context of upcoming upheaval in the American administration since the election of Donald Trump, which benefits the crypto sector. Indeed, Gary Gensler, current president of the Securities and Exchange Commission (SEC) – at war against the crypto ecosystem and in particular against XRP – will leave his post on January 20.
SEC vs. XRP Battle
An announcement welcomed by the crypto community and which particularly benefits XRP. As a reminder, a legal case has been opposing since December 2020 the crypto company Ripple and the American stock market policeman. The SEC had taken Ripple to court, accusing it of having led a $1.3 billion unregistered securities offering with its native cryptocurrency, XRP.
In July 2023, the American justice system ruled, finding that XRP was not a “security” and therefore did not fall under the control of the SEC. But a month ago, the SEC created a twist, once again engaging in a battle against XRP.
Despite this spectacular increase, XRP still remains 40% of its all-time high of $3.84 reached in January 2018.
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