Table of Contents
XRP has surged significantly over the past week. It climbed 21% in seven days and posting a strong 13% gain in the past 24 hours. The token is now trading at $2.69, coinciding with the highly anticipated launch of Ripple’s USD-pegged stablecoin, Ripple USD (RLUSD).
While XRP is not officially issued by Ripple Labs, the cryptocurrency has historically been linked to the company’s developments. Ripple Labs, founded in 2012, has worked to distance itself from being the direct issuer of XRP. Still, the market tends to react positively to Ripple’s milestones—and the RLUSD stablecoin launch appears to be no exception.
Market Experts Weigh In on RLUSD and XRP
Alex Obchakevich, founder of Obchakevich Research, noted that XRP’s growth has been the strongest among leading cryptocurrencies this week. It surpassed Bitcoin’s 10% increase. He explained that the token had been consolidating within a bullish trend and, after clearing the $2.60 resistance level, could potentially rally toward $4 in the near future.
Read Also: Ripple and RLUSD – Full Guide
Jake Ostrovskis, OTC desk principal at Wintermute, attributed XRP’s recent gains to its established popularity among retail investors. He also pointed to growing optimism around the possibility of an XRP spot ETF. Particularly given the favourable outlook under the new U.S. administration.
ETF Momentum and Future Outlook
Momentum for an XRP spot ETF continues to build. Late last month, asset management giant WisdomTree filed an application for such a product, adding to the growing wave of institutional interest in XRP.
Adam O’Neill, Chief Marketing Officer at crypto exchange Bitrue, believes that XRP’s upward trajectory will continue into 2025. He suggested that the potential launch of an XRP ETF in 2025 could drive the token to a new all-time high by the end of Q1. Additionally, he emphasized that Ripple’s regulatory wins, combined with increasing demand for RLUSD and supportive political conditions, create a favorable environment for XRP’s growth.
Read Also: Two Main Reasons Why Altcoins are Surging
O’Neill also highlighted the significant attention XRP has received due to its recent 400% price rally over the past six weeks. This increased media coverage has further fueled interest and demand for the token.
RLUSD Launch Drives Excitement
Ripple’s RLUSD stablecoin, which debuts today, is drawing significant interest from analysts. Many believe the launch is contributing to XRP’s rising demand, as the success of RLUSD and XRP are increasingly seen as interconnected.
Alex Obchakevich projected that RLUSD would quickly gain traction, entering the top 100 cryptocurrencies with a market capitalization exceeding $1 billion within its first few days.
Ripple USD’s operations are also expected to provide long-term benefits to XRP. Since RLUSD transactions burn small amounts of XRP as gas fees, the token’s circulating supply will gradually decrease over time. Adam O’Neill noted that this reduction in supply could lead to increased scarcity, potentially driving up XRP’s value.
The Road Ahead
With Ripple strengthening its position through the launch of RLUSD and institutional interest heating up, XRP appears poised for further gains. Investors are closely monitoring developments in Ripple’s ecosystem, particularly as anticipation builds for a potential XRP ETF and wider adoption of the RLUSD stablecoin.
If current trends continue, XRP could soon solidify itself as one of the biggest winners in this bullish cycle.
