XRP News Today: Stellar Lumens XLM and Ripple XRP surge 138% and 500% after GENIUS Act passage

The prices of Stellar Lumens (XLM) and Ripple (XRP) tokens surged overnight following the passage of the GENIUS Act in the United States. The XLM token reached a high of $0.5200, marking a 138% increase from its lowest point this year. Similarly, the XRP price soared to a record high of $3.60, up sharply from this month’s low of $1.90. This surge represents a more than 500% increase from its lowest level in 2024, giving it a market capitalization of over $212 billion.

The GENIUS Act, the first crypto-related legislation by the US Congress, establishes regulations for stablecoins used in the United States. These rules mandate that all USD stablecoins be backed by the dollar and short-term US government bonds, and that all stablecoins be audited with regular disclosures from issuers. Analysts believe these regulations will boost consumer confidence as stablecoins become more mainstream, drawing more companies and users to adopt them. Major corporations have already explored using stablecoins.

The GENIUS Act significantly impacts Stellar and Ripple due to their business models, which include stablecoin elements. Stellar focuses on global payments and primarily uses the USDC stablecoin. Recent data indicates that Stellar's USDC volume has increased significantly in the past few weeks. The stablecoin supply on Stellar jumped by 18% in the last 30 days to $181 million, while the number of addresses increased to 258,000. Stellar handled a volume of over $1.6 billion in that period.

Ripple is also affected by the GENIUS Act, as the company launched Ripple USD (RLUSD) last week. The RLUSD stablecoin, backed by the US dollar, has accumulated over $520 million in assets. This stablecoin is likely to continue growing in the coming months, especially if USDT is delisted in the United States. Unlike RLUSD, USDT is backed by both the US dollar and other assets like gold and Bitcoin.

The daily chart indicates that the XRP price has staged a strong comeback this month, having exited an eight-month consolidation period. It has moved above the upper side of the symmetrical triangle pattern and crossed the previous year-to-date high of $3.3815. The coin also remained above the 50-day and 100-day moving averages, while the Relative Strength Index (RSI) and other oscillators have all pointed upwards. Therefore, the token is likely to continue rising as bulls target the key resistance point at $4.26. This target price is derived by measuring the depth of the bullish flag and extrapolating it from the breakout point.

Stellar Lumens token price also staged a strong comeback this month. This surge happened after it formed a double-bottom pattern at $0.2175 and a neckline at $0.3352, its highest point on May 12. The token has moved above the 50-day and 100-day Exponential Moving Averages (EMA). It has also formed a bullish pennant pattern, pointing to more gains in the coming months. If this happens, the token will jump to $0.6353, its highest point in November.