XRP Surges Past Tether: What’s Driving the Crypto’s Rise?
XRP recently made headlines by briefly surpassing Tether (USDT) to become the third-largest cryptocurrency by market capitalisation, soaring to US$2.63. This spike pushed its market cap to an impressive US$151 billion before it settled down to approximately US$144 billion with a price of US$2.46 at the time of reporting. Notably, while XRP has displayed resilience with a rise of over 4%, the broader market has been wavering amidst recent tariff rollbacks between the US and China.
This surge in XRP’s valuation is underpinned by a potent mix of bullish sentiment and speculation amongst investors. According to data from CoinMarketCap, around 88% of the XRP community is optimistic about the asset’s trajectory. A key element in this optimism is the anticipation that BlackRock, the leading asset management firm, may be on the verge of filing for an XRP exchange-traded fund (ETF) following the conclusion of its legal tussle with the US Securities and Exchange Commission (SEC).
Nate Geraci, a prominent voice in the cryptocurrency space and president of The ETF Store, has suggested that BlackRock may not wish to remain passive while competitors introduce ETFs for key cryptocurrencies. He indicated that BlackRock is likely interested in capitalising on opportunities associated with XRP and other high-profile digital assets like Solana.
While there is no concrete evidence yet supporting the idea of a BlackRock XRP ETF filing, Geraci’s assertions have sparked considerable interest. He has previously voiced his belief on social media that the firm would eventually pursue ETFs for both Solana and XRP, particularly now that legal challenges have been resolved.
Geraci went on to outline the competitive landscape, stating, "I simply don’t see them allowing competitors to come in & launch ETFs on 2 of the top 5 non-stablecoin crypto assets without any sort of fight." This aligns with the perspective that BlackRock, as the world’s largest asset manager, will seek to protect its interests and leverage potential new investment avenues.
The implications of a potential XRP ETF filing by BlackRock are significant. Given the unprecedented growth of BlackRock’s Bitcoin ETF, which manages a substantial amount of Bitcoin under management and has become one of the fastest-growing ETFs in history, a similar splash from an XRP ETF could yield remarkable results. This prospect has undoubtedly kept the "XRP Army," a fervent community of XRP supporters, hopeful as they monitor developments closely.
It’s important to note that despite the excitement surrounding XRP’s recent performance, it remains a considerable 35% beneath its all-time high of US$3.84, set back in January 2018.
As the landscape evolves, developments regarding ETF filings, regulatory decisions, and market trends will be closely watched by investors and traders alike. As XRP continues to navigate its path amidst speculation and broader market dynamics, it remains a key player in the fascinating realm of cryptocurrencies.
In summary, XRP’s recent surge highlights a pivotal moment for the cryptocurrency, fuelled by community optimism and the speculative groundwork laid by giants like BlackRock. The potential for an XRP ETF could signal a new chapter for the asset, with investors keen to see how this situation unfolds in the months to come.
