XRP has jumped 17% in the past 24 hours, outpacing gains in Bitcoin (BTC) and other major cryptocurrencies amid growing positive sentiment amid the changing U.S. regulatory landscape.
XRP Up 17%, Outperforms Market as Rally Fades
XRP rose above $0.82 in early Asian trading hours on Friday, extending its seven-day gain to almost 50%, a level last seen in June 2023. The rally comes as 18 U.S. states filed lawsuits against the SEC, claiming the agency’s regulatory actions constitute overreach.
The lawsuit targeting the SEC and chairman Gary Gensler has fueled optimism that a possible return by former President Trump could lead to a more crypto-friendly administration.
Analysts believe that tokens linked to US-based firms, including Ripple Labs and Uniswap (UNI), could benefit from increased institutional support and regulatory clarity during the Trump era.
Bitcoin, along with other major cryptocurrencies, fell 4% in U.S. trading late Thursday, a decline attributed to profit-taking after several days of growth.
The decline was exacerbated by Federal Reserve Chairman Jerome Powell's hawkish comments at a conference in Dallas, saying, “The economy is not sending any signals that we should rush to lower interest rates.”
Following Powell's statements, the market's probability of a rate cut in December dropped to 66% from 83% the previous day.
Despite the temporary dip, analysts remain optimistic about bitcoin’s direction. “Given Bitcoin’s impressive rally since the US election, we believe $100,000-$120,000 may not be too far away,” QCP Capital traders wrote in a Telegram post.
They added that Trump’s ideas on creating a BTC reserve and switching from gold to BTC could further support prices.
*This is not investment advice.
