XRP cryptocurrency surges over 300% in a month due to Trump's positive stance on digital currencies.

From Nasdaq: 2024-12-06 21:35:02

1. Ripple’s XRP cryptocurrency has surged over 300% in a month, reaching $2.37 from $0.22 in early 2021. This rally makes XRP the fourth-largest cryptocurrency globally, with a market cap of around $135 billion, following Bitcoin, Ethereum, and Tether.

2. The surge in XRP follows a trend among cryptocurrencies after Donald Trump’s U.S. presidential election win. Trump’s positive stance on digital currencies has boosted interest. Bitcoin has also hit a record high, surpassing $100,000 for the first time, more than doubling from $44,000 at the start of the year.

3. Ripple, a digital payment network, uses XRP for fast, low-cost international transfers. In 2020, the U.S. SEC accused Ripple of an unregistered security offering, seeking a $2 billion fine. However, the court imposed a $125 million penalty instead, and the SEC’s appeal was denied. Ripple’s upcoming RLUSD stablecoin launch could further boost XRP.

4. Despite XRP’s impressive 1000% surge in 2021, returns have been inconsistent in recent years. The S&P 500 has outperformed XRP in some years, indicating volatility. The Trefis High Quality (HQ) Portfolio, featuring 30 stocks, has consistently outperformed the S&P 500 each year since 2016, offering better returns with less risk.

5. Recent returns show XRP at 27% for the month, 385% YTD, and 4.5% in 2024. In comparison, the S&P 500 returned 1% for the month, 28% YTD, and 127% in 2018-2024. The Trefis Reinforced Value Portfolio had -8% for the month, 26% YTD, and 587% since 2016, showcasing different investment options.



Read more at Nasdaq: What’s Driving The XRP Rally?