XRP’s Total Market Cap Tops $139 Billion. Why is It Up Today?

The price of the native token of the XRP Ledger has risen around 1% over the last 24-hour period, despite enduring a significant correction over the last few hours that saw it drop more than 1.5% from over $2.46 to now stand at $2.42.

XRP price chart via CCData

According to available market data the cryptocurrency’s price rose amid a wider cryptocurrency market rally fueled by the flagship cryptocurrency bitcoin recently topping the $100,000 mark amid renewed interest from investors.

XRP is nevertheless still up more than 15.8% over the past week and is the third-largest digital asset by market capitalization with a $139 billion market cap, above Tether’s $137.5 billion market cap.

The cryptocurrency market’s surge  has been largely attributed to expectations of a more crypto-friendly regulatory environment under President-elect Donald Trump. Anticipated policy shifts, including the establishment of a strategic Bitcoin reserve and the appointment of Paul Atkins as head of the SEC, have boosted investor confidence. 

Additionally, the approval of spot bitcoin exchange-traded funds early last year has made digital assets more accessible, further contributing to the market’s upward momentum.

The rise also comes at a time in which corporate bitcoin holders are doubling down on the flagship cryptocurrency, with MicroStrategy announcing plans to raise up to $2 billion through preferred stock offerings to fuel additional BTC purchases this year.

Trump’s pro-crypto stance has seen many speculate that XRP could soon see the launch of a spot ETF offering exposure to it. Several companies have already filed for spot XRP ETFs, including Bitwise, Canary Capital, WisdomTree, and 21Shares. Ripple’s CEO Brad Garlinghouse has suggested such a fund is “just inevitable.”

Featured image via Pexels.