n November, Ripple's XRP token had surged more than 230% vertically. This stunning rally propelled XRP to take the spot from Binance Coin (BNB) and become the fifth-biggest cryptocurrency by market capitalization, according to data from CoinGecko.
Regulatory Tailwinds and Institutional Interest Drive XRP's Resurgence
The primary driver of this bullish run for XRP has been growing confidence in the eventual outcome of the ongoing court case between Ripple and the U.S. Securities and Exchange Commission.
Various reports noted speculation that with rumours circulating of SEC Chair Gary Gensler stepping down in January 2025, this case on whether or not XRP is classified as a security is closer to a resolution in Ripple's favour.
Besides this, institutional interest in the XRP cryptocurrency has risen in many ways. With an XRP exchange-traded fund filing in Delaware, leading asset manager WisdomTree joined a list of several filings filed by Bitwise and Canary Capital in October of this year. While all this institutional demand sets it up this high, XRP is merely setting up as an increasingly plausible option.
XRP Ledger Upgrade and DeFi Integration Fuels Adoption
At the same time, Ripple is preparing for some deep upgrades to the XRP Ledger that promise better liquidity and more institutional investors. As Brett, one of the popular influencers in the field, noted, changes like these could send hundreds of millions into the XRPL tokens, especially those used in the DeFi sector, further elevating XRP's market standing.
XRP's Market Dominance and Future Outlook
XRP is faring even better: The market capitalization of the token stood at a three-year high of $108 billion on November 30, 2024. It has also helped it surpass BNB—its closest rival, which sports a market cap of $96 billion— to consolidate its place as the fifth-biggest crypto.
Grayed legal uncertainties and increasing institutional support are indications that XRP might show a possible resurgence in the market. This, analysts and experts say, could continue with the present strong bullish momentum any time soon, placing XRP well within these ever-changing cryptocurrency markets.
