XRP Surges 6.5% Leading Market Recovery, Institutional Investors Flock In

XRP, the native cryptocurrency of Ripple, has been surging in the past 24 hours, leading the market-wide recovery with a 6.5% gain. This comes after an extended period of decline, with XRP now trading above $2.68 and extending its weekly gains to 9%.

Institutional investors have been flocking to XRP, with large whales purchasing the cryptocurrency in the last 48 hours. This increased demand has been accompanied by a decline in exchange volumes, suggesting that investors are taking a long-term view on XRP. The anticipation of a spot XRP ETF in the United States has also boosted market sentiments, with recent filings from Hashdex, WisdomTree, and Canary Capital further increasing expectations.

The price of XRP broke $3 for the first time in years in Q4 2020, following massive institutional inflow after Donald Trump's victory in the U.S. Presidential elections. Additionally, XRP's price has benefited from a wider market rebound this month, as crypto assets recovered from a plunge triggered by U.S. government announcements of tariffs on Mexico and Canada, as well as the launch of Chinese AI startup DeepSeek.

In the last 24 hours, altcoin prices have gained momentum, with Ethereum moving up 2% to $2,736 and XRP leading top altcoin gains with a 6.5% spike. Solana and Cardano also moved in the same direction, contributing to the overall market recovery.

Improved U.S. regulations have been a significant factor behind XRP's rise. Last year, President Trump pledged to make the United States the crypto capital and drive innovation in the industry, sparking high institutional demand for XRP and other assets. The creation of a crypto task force has also led to strong speculations of a pause in ongoing lawsuits, further boosting market sentiments.