- XRP’s surge aligns with expectations of a crypto-friendly Trump administration.
- Legal optimism and SEC ETF approval speculation boost XRP’s market sentiment.
- Analysts eye $3.80–$4.00 resistance as a key price level for XRP’s movement.
Ripple’s XRP has experienced a significant surge, coinciding with the hype surrounding the upcoming Trump inauguration. On Thursday, the cryptocurrency reached a notable milestone, climbing by 10% in just 24 hours. It briefly broke the $3 mark for the first time in seven years, pushing its price to approximately $3.35.
This price movement is seen as part of a larger trend, fueled by anticipation of favorable regulatory changes under the incoming Trump administration. According to analyst Egrag Crypto, XRP’s price movements are heavily influenced by the broader market context and regulatory outlook.
Crypto-Friendly Regulatory Framework and National Reserve Speculation
The catalyst behind this rally appears to be the expectation that the Trump administration will introduce a crypto-friendly regulatory framework. Industry experts, including Patrick Liou from Gemini, suggest that the current surge is tied to rumors of a national reserve for digital currencies, specifically those based in the U.S.
This reserve could include XRP, Solana, and USD Coin, potentially legitimizing these tokens as stores of value. As a result, the possibility of XRP being included in such a reserve has generated substantial investor interest, driving its price upward.
Ripple’s Legal Optimism and SEC Lawsuit Influence
In addition to the national reserve speculation, XRP’s recent rise can also be attributed to the growing optimism surrounding Ripple’s legal battles with the SEC. Liou pointed out that investors are hopeful that the new administration may influence the outcome of ongoing lawsuits involving Ripple and XRP.
This optimism has added to the bullish sentiment surrounding the token, further propelling its price higher. Furthermore, there are increasing expectations that the SEC may soon approve XRP exchange-traded funds (ETFs), a move that could further boost XRP’s market presence.
Ripple’s Direct Ties with the Trump Administration
Ripple’s close ties with the Trump administration are also playing a role in the token’s surge. CEO Brad Garlinghouse has met with the President-elect, fueling speculation that Ripple could have a direct line of communication with the new administration. This connection is viewed as a potential advantage for Ripple, particularly if the Trump administration acts in favor of crypto companies like Ripple.
Resistance Levels and Analyst Insights on XRP’s Price Movement
As of press time, XRP is trading at $3.31 and will soon approach $3.80–$4.00. Analysts like Egrag Crypto are keeping a close eye on this resistance level. The $3.80–$4.00 range is seen as a critical point for XRP’s price action, coinciding with the Wave 4 corrective wave in the Elliott Wave Count.
A breakout beyond this level could signal the continuation of the current rally. However, if resistance holds, XRP may experience a pullback before resuming its upward momentum.
