Ripple’s cryptocurrency XRP has skyrocketed nearly 5x in value since November 2024, now standing at $2.46 and surpassing Bitcoin and Ethereum as the world’s third-largest cryptocurrency. The surge can be attributed to positive developments in its legal battles and the recent launch of the RLUSD stablecoin.
A key factor driving XRP’s rally is the high probability of an approval for Ripple’s Exchange-Traded Fund (ETF) this year, with data suggesting a 70% chance of success. If approved, it could significantly boost XRP prices due to increased market legitimacy and institutional investor access.
Beyond ETFs, Ripple’s core business – facilitating fast and low-cost international money transfers using its cryptocurrency XRP – will play a crucial role in driving future price growth. The company has made significant strides in its fight against the SEC and is poised to secure new partners, increasing adoption of its payment network.
However, investors should be aware that XRP remains a high-risk asset, with inconsistent returns over recent years. It underperformed the S&P 500 in 2022 but consistently outperformed it in previous years. A balanced approach is essential, considering alternative portfolios like Trefis Market Beating Portfolios.
Source: https://www.forbes.com/sites/greatspeculations/2025/01/06/after-a-200-rise-in-2024-whats-next-for-xrp