XRP News Today: XRP Surges 445.15% Post-Election But Faces Stagnation

XRP, the cryptocurrency associated with Ripple, experienced a significant surge of 445.15% between November 5 and December 2, 2024, following the U.S. election. This surge delivered a monthly return of 281.7% in November alone. However, despite major milestones such as the SEC settlement and an improved political outlook, XRP has since traded sideways, raising concerns among traders and analysts about its future.

Crypto analyst Jose Luis Cava pointed to Ripple’s tight control over XRP’s supply and market structure as major reasons behind the stagnation. He argued that such control restricts organic price action, making it difficult for the market to move naturally based on demand and supply. A significant portion of XRP is still held by Ripple Labs, with around 35% of the total supply in monthly escrow, 7% in Ripple’s direct wallets, and at least 2% circulating under the company’s control.

Institutional demand for XRP remains low compared to other top cryptocurrencies like Bitcoin and Ethereum. While XRP has outperformed Bitcoin and Ethereum in recent yearly performance, it still lags in terms of institutional demand. Bitcoin and Ethereum continue to dominate due to their wide acceptance and massive institutional backing. For instance, the total market cap of U.S. Bitcoin spot ETFs stands at $135.50 billion, while that of Ethereum spot ETFs is $9.01 billion. In contrast, XRP spot ETF applications are still pending with the SEC, with regulatory decisions expected by late 2025.

Many believe that XRP’s low institutional interest is rooted in concerns over its centralized control, uncertainty around banking partnerships, and lack of clear real-world use cases. Adding to the debate is XRP’s dual-ledger system, which uses both a public XRP Ledger for retail users and a private, permissioned ledger tailored for central banks. This setup has triggered criticism, especially from crypto purists who see private ledgers as a threat to the core principles of decentralization and transparency.

Despite these challenges, the year 2025 has been significant for XRP. After a prolonged legal battle, Ripple settled with the SEC, paving the way for increased adoption and potential growth. However, XRP has largely traded sideways since the post-election rally in November 2024. In terms of quarterly performance, Q1 2025 saw a modest return of 0.45%, a decline compared to Q1 2024’s 2.37%. The second quarter of 2025, however, showed improvement with a return of 7.12%, a stark contrast to the -25% return in Q2 2024. So far this quarter, the market has jumped by 4.08%, reaching $2.33.

The XRP market is unlikely to break free from its current sideways pattern unless Ripple directly addresses user concerns. Key issues include transparency, real-world adoption, and centralization of token control. Experts suggest that the XRP community is looking for greater openness, stronger institutional use cases, and a shift towards decentralization before regaining confidence in the asset’s long-term growth potential.