XRP Price May Rally To $4, Analyst Projects Amid Ripple Stablecoin Launch

XRP price surge after Ripple’s announcement that its stablecoin RLUSD will be launched has helped boost market confidence. Technical patterns and growing whale activity support cryptocurrency moving to $4, according to analysts.

XRP Price Surges Following Stablecoin Announcement

XRP saw strong price growth after Ripple confirmed the launch of its new stablecoin, RLUSD. The price climbed from $2.36 to $2.56, marking an 8.47% increase shortly after the news.

Continued buying momentum pushed XRP price to $2.69, reflecting a 13.17% gain in 24 hours and a 26.31% increase over the past week.

As of press time, the market cap of the XRP stands at $153.75 billion, a circulating supply of 57 billion tokens.

Meanwhile, trading volume has ballooned too, with more than $20 billion traded on XRP over the last 24 hours.

Crypto analyst Ali noted,

“$XRP has been consolidating in this bull flag for a while, but once it clears the $2.60 resistance, I think it’s off to the races, heading toward $4!”

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Analysts consider $2.60 a key resistance level for the XRP price, with a breakout potentially driving further gains.

Recently the cryptocurrency broke up from a falling wedge pattern, which typically signals a trend reversal to the upside. A move above $2.60 sustained could confirm the breakout and propel further gains, traders and analysts say.

Ripple Prepares for RLUSD Stablecoin Launch

Ripple has confirmed that RLUSD will officially launch on December 17. The stablecoin, designed to operate on the XRP Ledger, will be listed on exchanges such as Bitstamp, giving traders access to the asset soon after its release.

Ripple CEO Brad Garlinghouse announced that the New York State Department of Financial Services (NYDFS) gave RLUSD approval, showing it was ready for the regulator. Just ahead of the launch, Ripple Treasury minted 13 million RLUSD coins to ensure a smooth launch.

David Schwartz, Ripple’s Chief Legal Officer, commented that the launch of RLUSD would create new opportunities for developers and users by combining the benefits of RLUSD, XRP, and the XRP Ledger.

Whale Activity Drives Market Momentum

At the same time, XRP price rally has seen massive amounts of whale activity. Blockchain tracker Whale Alert tweeted that a transfer of 69.3 million XRP, or $175.87 million, from an address to Binance.

Bithomp, an XRP-focused analytics platform, verified the transaction was internal and involved Binance linked wallets.

Earlier reports revealed even larger movements, with 800 million XRP and 120 million XRP moved in separate transactions from Binance.

These transfers, worth over $2.2 billion, are linked to Binance’s internal reshuffling of XRP holdings. This increased whale activity has contributed to the market positivity and large investors seemed to be placing them early for Ripple’s stablecoin.

Although there are always those who seek to take their profits, the XRP price has remained firm and is suggestive of demand.