XRP gains momentum as Ripple SEC lawsuit nears conclusion – U.S. XRP future in question

Ripple is making a remarkable comeback, reclaiming its momentum after navigating a prolonged and high-stakes legal battle with the U.S. Securities and Exchange Commission (SEC). The XRP lawsuit, which had been casting a shadow over Ripple’s future endeavors, now seems to be approaching its end, paving the way for growth, innovation, and the possibility of an XRP spot exchange-traded fund (ETF) in the U.S.

Recent developments in Ripple’s strategic expansion point to a shift towards merging traditional finance (TradFi) with decentralized finance (DeFi). This shift is exemplified by Ripple’s acquisition of Hidden Road for $1.25 billion, a major player in institutional brokerage serving over 300 clients and processing more than $3 trillion in transactions annually. With this acquisition, Hidden Road will now utilize the XRP Ledger (XRPL) for post-trade settlements, drastically reducing settlement times from 24 hours to just 3-5 seconds. This move signifies Ripple’s resurgence into aggressive expansion post-regulatory challenges.

Moreover, Ripple is not only focusing on payment settlements but is also heavily investing in custody solutions. Their acquisitions of Metaco and Standard Custody have laid the foundation for their new service, Ripple Custody, offering secure storage solutions for digital assets aimed at institutional clients. By combining custody, payment solutions, and stablecoins, Ripple aims to become a comprehensive blockchain provider for banks and financial institutions, thereby enhancing its role in the tokenization-as-a-service sector.

Industry projections from Boston Consulting Group suggest significant growth in the digital asset custody market, potentially surpassing $16 trillion by 2030. Ripple’s endeavors align with this forecast, positioning itself as a pioneer in modernizing asset markets with its innovative strategies.

While Brazil has successfully launched its first XRP spot ETF, the U.S. market is still waiting for its arrival. Several XRP futures ETFs have been approved by the SEC, reflecting increasing institutional demand. However, the anticipation for a spot ETF in the U.S. remains high, as it would provide direct exposure and enhanced liquidity, meeting the real demand of market participants.

Ripple continues to garner optimism as more companies express interest in filing for U.S.-based XRP spot ETFs, with the CME Group planning to list XRP futures in May. These developments signify a maturing institutional asset in XRP, reinforcing growing confidence in its value recovery.

As market sentiment turns bullish and Ripple’s legal woes wind down, analysts are reevaluating XRP’s long-term price predictions. With XRP currently trading around $2.27 and having surged over 480% in the past month, traders are eyeing resistance levels near $2.50 and $2.72. If XRP manages to break through these thresholds, experts believe a near-term climb to $3 is feasible. Looking further ahead, some analysts project XRP reaching $10 by 2030, propelled by ETF momentum, stablecoin adoption, and the expanding utility of XRPL in DeFi and tokenization.

Despite speculations about a potential IPO, Ripple has expressed no immediate intentions for a public offering, opting instead for growth and expansion in the evolving digital finance landscape.