XRP Overtakes BNB As Fifth-Largest Crypto, Market Cap Nears $100 Billion
11/30/2024 04:35
XRP price soars over 230% in November, surpassing BNB in market cap. Regulatory optimism and ETF filings drive institutional interest.
Ripple’s XRP has flipped BNB to become the fifth-largest cryptocurrency by market capitalization. XRP’s market cap reached $99 billion on Friday, its highest in over three years.
XRP is seeing strong bullish momentum, as the altcoin surged by more than 230% in November.
Is XRP Price On-Route For a Historic Comeback?
Despite being one of the largest altcoins in the market, XRP has mostly underperformed in every bull market throughout the past three years. Ripple’s lengthy legal battle with the SEC has significantly impacted the altcoin’s market activity.
However, long-term holders of the token are finally seeing a potential reward. Donald Trump’s re-election and his promise for regulatory clarity have generated notable institutional interest in the token.
The current SEC chair, Gary Gensler, has been a constant throne at the sight of Ripple. However, his resignation earlier this month generated optimism that Ripple could finally be out of the SEC’s crosshairs.
This optimism has been reflected in the recent actions of major institutional investors. Last week, WisdomTree, one of the largest global asset managers, filed for an XRP ETF in Delaware. This was the third ETF application for XRP, as Bitwise and Canary Capital joined the race in October.
“Ripple is gearing up for major upgrades to the XRP Ledger, designed to enhance liquidity and draw in institutional investors. This increase in activity could direct hundreds of millions into XRPL tokens, especially in the DeFi sector.” influencer Brett wrote on X (formerly Twitter).
If approved, an XRP ETF would attract more institutional funds to the altcoin and potentially drive its market demand. The same trend happened for BTC, as the approval of Bitcoin ETFs saw soaring institutional demand for the cryptocurrency.
Most importantly, Trump’s administration will likely provide an optimal regulatory backdrop for cryptocurrencies in 2025. The president-elect has reportedly considered cutting the capital gains tax for all US-based cryptocurrencies, including XRP.
It’s also important to note that Ripple’s CEO, Brad Garlinghouse, has actively donated to Trump’s campaign. Furthermore, he recently donated $25 million to the 2026 US midterms, even before Trump’s administration begins in January.
So, we will likely see a very pro-XRP regulatory scene in the US, which will potentially drive the altcoins demand.
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