XRP Prices Soar 30% Following Leak of America-First Strategic Reserve Plans

Ripple’s XRP cryptocurrency has experienced a significant surge of nearly 30% in value over the past five days, with prices reaching £2.67 ($3.25) per token on January 17, breaching key resistance levels to hit an all-time high of £2.76 ($3.36). This surge comes following a leaked report from the New York Post suggesting that the incoming Trump Administration might establish an expanded crypto reserve known as the “America-first strategic reserve.” This proposed reserve would prioritize cryptocurrencies like Ripple’s XRP, Solana, and the widely-used USDC stablecoin issued by Circle for facilitating cross-border payments.

According to the leaked information, President-elect Donald Trump is open to the idea after meetings with Ripple CEO Brad Garlinghouse and Coinbase CEO Brian Armstrong. The potential endorsement from Trump has sparked optimism in the market, with experts like B2BInPay CEO Arthur Azizov highlighting XRP’s strength compared to other cryptocurrencies. Azizov believes that Trump’s perceived view of XRP as a strategic reserve could drive prices to exceed £8.2 ($10) by 2025.

The recent surge in XRP prices can also be attributed to positive developments in Ripple’s legal battles with the US Securities and Exchange Commission (SEC). Approval for Ripple’s stablecoin, RLUSD, expected to operate on the Ethereum blockchain, has boosted XRP’s outlook. Daily transaction volumes for RLUSD have already surpassed £82.02 million ($100 million). Furthermore, industry experts are optimistic that the appointment of pro-crypto officials like Paul Atkins and David Sacks under the Trump administration will lead to a favorable regulatory environment, potentially resulting in the dismissal of the SEC case against Ripple.

Another contributing factor to the XRP price surge is the cooling inflation rate in the US. December’s core inflation figures came in lower than expected at 3.2%, down from the 3.3% forecasted by analysts. This slower growth in Core CPI alleviated concerns among economists about inflation remaining above the US Federal Reserve’s 2% target. The news of declining inflation rates triggered a rally in the crypto market led by Bitcoin.

In addition to these factors, the market is increasingly pricing in the possibility of the SEC considering Ripple as a leading candidate for the next spot exchange-traded fund (ETF) after Bitcoin and Ethereum. Reports suggesting that Trump may issue an executive order prioritizing cryptocurrencies as a “policy priority” have further fueled optimism. Ripple’s significant campaign contributions during Trump’s election campaign have been highlighted in this regard. Ripple’s president, Monica Long, has expressed confidence that a Ripple ETF could receive rapid approval under Trump’s administration, potentially attracting billions of dollars in funds within a year.

It is essential to note that the information provided in this article is purely for informational purposes and should not be considered investment advice. Individuals are advised to conduct their own analysis or consult with financial professionals before making investment decisions. Investments are inherently risky, and past performance should not be viewed as an indicator of future returns.