XRP News Today: Ripple Seeks US Banking License XRP Surges 4%

Ripple, the company behind the cryptocurrency XRP, has recently applied for a national banking license in the United States. This strategic move has sparked significant interest and speculation within the market, with many traders and analysts anticipating a potential surge in the price of XRP. The application for a banking license is seen as a key step by Ripple to drive the growth of its RLUSD stablecoin, which could have far-reaching implications for the broader cryptocurrency market.

Brad Garlinghouse, CEO of Ripple, has been instrumental in expanding Ripple's compliance efforts. The banking charter application aims to provide both federal and state oversight, setting a new benchmark in the stablecoin market. This move is expected to stabilize the financial landscape for Ripple, aligning with broader crypto market trends. The pursuit of a banking license reflects deeper regulatory participation, which could enhance trust and facilitate greater cryptocurrency market integration.

Trading volumes for XRP increased significantly, with over $5 billion in activity as investors are anticipating potential price rallies. Market observers suggest that Ripple's application may inspire further regulatory engagement for cryptocurrencies. The price of XRP has already seen a notable increase, rising by nearly 4% in a single day following the announcement of Ripple's banking license application. This price movement has pushed XRP to a falling wedge resistance level, a technical pattern that often signals a potential breakout and subsequent rally.

Ripple's regulatory ambitions are likely to drive changes in market behaviors. Industry stakeholders anticipate that increased oversight could result in more secure transactions. Ripple's actions could influence not only XRP stability but also the broader cryptocurrency ecosystem. The technical structure of XRP's price chart also suggests a potential bull run. The formation of a falling wedge pattern, which typically indicates a shift from a bearish to a bullish trend, has been observed. If the price manages to close strongly above the upper resistance trendline and retest this level as support, it could pave the way for a significant rally.

If XRP successfully breaks through this resistance level, it could trigger a rally that pushes the price towards $3.96. This bullish sentiment is further supported by the increased open interest in XRP futures, which has surged to a monthly high. This indicates that traders are opening long positions, betting on a continued upward trend for XRP. The Relative Strength Index (RSI) is actively defending the 50 mean level, further indicating bullish momentum despite some weakness. If the RSI continues its ascent and forms a higher high, it will confirm the breakout from the trendline resistance, clearing the path for XRP to rally towards $3.96.

Ripple's quest for regulatory clarity and its application for a banking license have also increased the interest of speculative traders in the altcoin. Within 24 hours of the announcement, Ripple's open interest in futures increased by 8%, reaching its highest level in over a month. This surge in open interest is primarily driven by traders opening long positions, as the long/short ratio has returned to a neutral level of 1. Additionally, all positions opened by Hyperliquid whales on the day of the announcement were long positions, further reinforcing the bullish sentiment surrounding XRP.

The potential approval of Ripple's banking license application could have a profound impact on the price of XRP. If approved, it would pave the way for the mainstream adoption of the RLUSD stablecoin, giving it a competitive edge in the stablecoin market. This regulatory greenlight could mirror the December-January rally that pushed XRP towards $3.40, potentially leading to another significant bull run. The increased odds of an XRP ETF approval, as suggested by recent analyses, could also contribute to a rally towards the $3 target price.