XRP, the cryptocurrency associated with Ripple Labs, has experienced a significant surge, climbing to $2.03—a 12% increase over the past 24 hours.
This uptick comes despite a 6% decline over the past week, bringing XRP’s market capitalization to approximately $118.7 billion, with a 24-hour trading volume of $9.15 billion.
The recent price movement has led to substantial liquidations in the derivatives market. In the past 24 hours, XRP liquidations totaled $26.68 million, comprising $9.37 million from long positions and $17.32 million from short positions, according to data from CoinGlass.
Notably, an 8,900% liquidation imbalance occurred within a single hour, with $980,220 liquidated from bullish positions compared to just $11,130 from bearish ones.
Several factors have contributed to XRP’s recent price surge:
- Tariff Pause Announcement: President Donald Trump’s announcement of a 90-day pause on reciprocal tariffs has positively impacted financial markets, including cryptocurrencies. This policy shift has bolstered investor confidence, leading to price increases across various digital assets.
- XXRP ETF Launch: The introduction of the XXRP ETF on the New York Stock Exchange Arca has provided institutional investors with a regulated avenue to gain exposure to XRP. This development has increased trading volumes and contributed to the price appreciation.
- Ripple’s Acquisition of Hidden Road: Ripple Labs’ agreement to acquire prime brokerage firm Hidden Road for $1.25 billion aims to integrate Hidden Road’s post-trade operations into the XRP Ledger. This strategic move is expected to enhance Ripple’s position in institutional decentralized finance and has been well-received by the market.
Despite these positive developments, some analysts remain cautious. Technical indicators suggest potential bearish trends, with descending triangle patterns hinting at possible price corrections. Additionally, the broader financial market’s reaction to ongoing trade policies could influence XRP’s price trajectory.
Looking ahead, major financial institutions have offered optimistic forecasts for XRP. Standard Chartered predicts that XRP could reach $5.50 by the end of 2025, driven by increased adoption and favorable regulatory developments.
In summary, XRP’s recent surge is the result of favorable policy announcements, new financial products, and strategic corporate actions. While the outlook appears positive, investors should remain vigilant, considering potential market corrections and the evolving regulatory landscape.
Alexander Stefanov
Reporter at Coindoo
Alex is an experienced finance journalist and a cryptocurrency and blockchain enthusiast. With over 8 years of experience covering the crypto, blockchain and fintech industries, he deeply understands the complex and constantly evolving world of digital assets. His insightful and thought-provoking articles provide readers with a clear picture of the latest developments and trends in the market. His passionate approach allows him to break down complex ideas into accessible and insightful content. Follow up on his content to be up to date with the most important trends and topics.
Source: https://coindoo.com/top-3-reasons-why-xrps-price-is-surging-today/