Crypto enthusiasts had plenty to toast last Sunday as Ripple’s XRP leaped 15% in a day to reach a seven-year high and bring its weekly gain to a sizzling 54%. For the first time since 2018, the cryptocurrency topped the $2.00 milestone and leapfrogged Solana’s market capitalization to become the fourth most valuable digital asset overall.
This surge wasn’t just a win for XRP, Ethereum was also on the rise, hitting a half-year record. Despite recent sluggish growth relative to Bitcoin and other cryptocurrencies, Ethereum showed promising signs of a comeback, achieving a noteworthy six-month peak of $3,741.
XRP’s upswing to a $124 billion market cap (over Solana’s $112 billion) is largely credited to optimism surrounding its future regulatory landscape. With crypto-friendly Donald Trump set to assume the presidency and SEC head Gary Gensler set to exit his post by January 20, 2025, investors are feeling confident about the digital asset.
The SEC had previously taken aim at Ripple Labs, alleging securities violations that cast a grey cloud over XRP’s future in the US. But, things seem to be looking up for the digital currency, as speculations of fewer regulatory hurdles and potential adoption for spot exchange-traded funds (ETFs) loom.
It’s important to note that even with these impressive strides, XRP remains approximately 41% off its all-time peak price of $3.40, set back in January 2018. Similarly, Ethereum, despite its recent gains, is about 24% off its top mark of $4,878, recorded in 2021. As the crypto landscape continues to shift, it’s clear these digital currencies are making strides, echoing sentiments of optimism in the sector.