CMC AI

Why is XRP’s price up today?

Thought for 17s

TLDR

XRP rose 0.53% over the last 24h, aligning with its broader bullish trend (+12.45% 7D, +35.99% 30D). Key drivers include regulatory clarity post-SEC case dismissal, surge in derivatives activity, and corporate treasury adoption.

Legal resolution – SEC lawsuit appeals dismissed, removing uncertainty.

Futures surge – XRP derivatives volume hit $12.4B (+208%), overtaking Solana.

Institutional demand – Four firms disclosed XRP treasury holdings, mirroring Ethereum’s 2024 trend.

Deep Dive

1. Regulatory Clarity (Bullish Impact)

Overview: Ripple and the SEC jointly dismissed appeals in their long-running lawsuit on 9 August 2025, confirming XRP’s non-security status (Ripple CLO statement).

What this means:

- Removes a key overhang, boosting institutional confidence.

- Allows Ripple to focus on partnerships (e.g., RLUSD stablecoin expansion in Africa).

- SEC’s waiver of Ripple’s “Bad Actor” label improves access to capital markets.

Key watch: Final settlement terms and potential XRP ETF approvals (currently 76% odds on Polymarket).

2. Derivatives Frenzy (Mixed Impact)

Overview: XRP futures volume spiked to $12.4B (+208% YoY), with open interest rising 15% to $5.9B (Glassnode).

What this means:

- High leverage (20x positions observed) amplifies bullish sentiment but raises liquidation risks.

- Shorts liquidated $31M during the rally, creating upward momentum.

- Mixed signal: Rising open interest suggests speculative froth; a reversal could trigger cascading sells.

3. Corporate Treasury Race (Bullish Impact)

Overview: Four public companies—including Quantum Biopharma and Worksport Ltd.—disclosed XRP holdings in SEC filings, totaling ~$986M commitments (Coingape).

What this means:

- Mirrors Ethereum’s 2024 treasury trend, signaling institutional validation.

- Reduces circulating supply pressure; 2,742 “whale” wallets now hold 47.32B XRP.

- Trident Digital’s $500M XRP treasury plan for African RLUSD adoption adds utility.

Conclusion

XRP’s gains stem from fading regulatory risks, derivatives speculation, and corporate accumulation—a trifecta reinforcing its $197B market cap dominance (5.02% of crypto). While technicals hint at resistance near $3.35 (Fibonacci 23.6%), the MVRV golden cross historically precedes rallies (630% in late 2024).

Key watch: Can XRP hold above $3.30 if Bitcoin dominance rebounds from 59.23%? Monitor South Korean volumes (Upbit’s $1.09B 24h trades) and SEC’s XRP ETF decision by mid-October.