XRP, the native token of Ripple Labs, has been on a tear in recent weeks, surging in both price and open interest (OI). This bullish trend coincides with the US elections and the upcoming departure of SEC Chair Gary Gensler, igniting optimism for a friendlier regulatory landscape for cryptocurrencies.
Price And OI Climb In Tandem
CryptoQuant analyst “maartunn” highlighted the parallel rise in XRP’s price and open interest since the elections three weeks ago. Back then, XRP languished below $0.60 with an OI of roughly $500 million. Fueled by speculation surrounding Gensler’s departure in January 2025, the price has since doubled or even tripled at times, reaching a three-year high of over $1.60.
This optimism has spilled over into the derivatives market, with XRP’s open interest mirroring the price action. Over the weekend, OI reached an unprecedented $1.8 billion.
Regulatory Shift And Pro-Crypto Stance Fueling the Rally
Maartunn attributes the rising OI to three key factors:
- Gensler’s Departure: The anticipated change in leadership at the SEC has sparked hope for a more crypto-friendly regulatory environment, potentially benefiting XRP.
- Pro-Crypto Stance of New Administration: President-elect Trump’s pro-crypto campaign promises have boosted investor confidence, fueling the recent bull run. His administration’s commitment to fostering a thriving crypto ecosystem is a positive sign for the industry.
- Surge in Crypto ETF Filings: The impending changes at the SEC have triggered a wave of filings for crypto ETFs, with XRP being a strong contender to follow in the footsteps of Bitcoin and Ethereum.
Can XRP Reclaim Its All-Time High?
While XRP has surged by 180% in the past month, it currently sits around $1.50, still over 50% shy of its all-time high of $3.40 reached in early 2018 (according to CoinGecko). Doubling its current valuation is necessary to reclaim that peak.
Despite the seemingly daunting task, many crypto analysts remain bullish on XRP’s potential to reach new heights during this cycle, particularly with a swift and favorable resolution to the ongoing lawsuit against the SEC after Gensler’s departure. Some even in the XRP community are boldly predicting targets of $10 or even $30 per coin.
Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of Chain Affairs. Before making any investment decisions, you should always conduct your own research. Chain Affairs is not responsible for any financial losses.
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