Table of Contents
XRP has had a fabulous evolution in 2024, which can also set the ground for a great outcome in 2025. The price fluctuation of XRP has seen an increase, which is an important step for this cryptocurrency because of the continuous battle between Ripple and SEC. Many facts have made this cryptocurrency go on an upward trajectory, and the most recent one is the election of President Donald Trump, which created a new favorable environment for all cryptocurrencies to thrive.
In this regard, Bitcoin has surged past the $100K mark, and things can also be prosperous for the majority of altcoins, which can appreciate in value, including XRP. However, this is not the only recent event that has positively impacted this cryptocurrency, as an XRP ETF approval can also increase the price of XRP. Why could this become a reality? If XRP has an ETF approval, this will bring better accessibility, making more investors interested in adding this cryptocurrency to their portfolios.
What can XRP ETF approval bring to the future of this digital coin?
The future could bring a positive scenario for XRP with the possibility of an ETF approval, as seen in past examples. Two cryptocurrencies have already had an ETF approval, and we have seen from there what this event can have on their further development. The SEC approved the Bitcoin ETF in January, and this was one of the most important factors that made Bitcoin increase that much and reach a new all-time high. Since then, the Bitcoin ETFs have gained a big inflow.
The potential that an ETF approval can have on a cryptocurrency was also seen in the case of Ethereum. Before this approval, the price had remained stagnant, but things started to change after this approval when the prices experienced an increase. This is why things can be similar in the case of XRP, and its price can also have a bullish trend, as it happened with the other digital coins.
Could the XRP price hit $10 driven by this event?
The battle between SEC and Ripple negatively impacted this digital coin, but the hard times could finally end, and XRP could see a positive outcome for its future. For example, with Gary Gensler’s resignation and Donald Trump’s win, XRP can be bullish again, as this event can boost the value of this digital coin exponentially and attract a bigger institutional demand. This is already true, as there has been some anticipation around the XRP ETF since the Ethereum ETF approval. Firms like Bitwise, WisdomTree, and 21 Shares are waiting for SEC approval, and this can be seen by the fact that they have already filed their applications for the XRP ETF.
Even though Ripple didn’t have the easiest time with the SEC, the community is awaiting this approval, which could cement XRP’s position even more in the market and attract enthusiasm from a bigger audience. If this scenario becomes a reality, then the XRP price can hit the $10 mark.
A look at the history of XRP
XRP has quite an interesting history, as it was created by Ripple, a company that managed to create an entire ecosystem around this digital coin. For example, the XRP Ledger is the blockchain that powers the native coin of the network, XRP. This ledger was launched in 2012, and this platform was considered an open-source project generally known under the name of Ripple. This project included the Ripple Consensus Ledger, Transaction Protocol, and the Ripple Network. The goal of creating the XRP cryptocurrency was to allow faster and more secure transactions internationally, which is why it could function similarly to Bitcoin.
The XRP ledger functions thanks to a quorum-based consensus mechanism, which differs from the most popular options other digital ledgers have considered, such as the Proof-of-Stake and Proof-of-Work. XRP consensus mechanism allows validators to participate in the network by agreeing on a set of transactions present in the ledger. With this process, they add new blocks to the blockchain, and the data remains written there, and no one can remove it any longer.
The main goal of XRP was to allow all participants to make transactions more efficiently, reliably, and quickly than they could with other financial assets. So, XRP can be one of the best tools for governments, businesses, and institutions.
Is it a good idea to invest in XRP?
XRP is a good investment, especially if it goes through even more advances in the future and upcoming events. XRP has numerous attributes that have captured people’s attention, such as lower fees and robust security protocols, which make it a good investment alternative in the crypto realm. Besides this, XRP has the perfect blend of innovation and practicality, which puts it closer to other important cryptocurrencies like Bitcoin and Ethereum. However, as all cryptocurrencies are volatile, investors should be careful before taking the first steps in this landscape and research thoughtfully to understand that they can stand any price fluctuations that appear in this space.
The bottom line
As the ETF market is increasing quickly, more cryptocurrencies could be welcome to take part of this world, especially after seeing the success of other digital coins like Bitcoin and Ethereum. It looks like XRP could be the next in line, especially because of all the advantages this digital currency has and the fact that it can see an increase in its price. XRP has a bullish trend, which has also occurred because the crypto sector at large is experiencing a boom, and Bitcoin has reached a new all time high. Because the crypto pioneer has a big impact on the other altcoins as well, this can fuel the other cryptocurrencies and allow them to experience growth in the future.
Image source: https://www.vecteezy.com/vector-art/6640076-xrp-crypto-icon-vector-illustration
