The cryptocurrency market is experiencing a strong growth phase. Surprisingly, the spotlight of this bullish wave is not only on Bitcoin – even though the price of BTC has doubled in the past year – but also on XRP, the digital currency that has recorded an increase of nearly 500% during the same period.

As of August 12, the price of XRP has surpassed 3.25 USD, prompting many investors to question: Can XRP break the 4 USD mark for the first time in history?

This optimism stems from a confluence of factors – from the crypto-friendly policies of the Trump administration to a series of positive news directly related to XRP.

📈 Momentum from Policy and the Market

President Donald Trump pledged to support the cryptocurrency industry during his campaign, and since taking office in January, his administration has taken several concrete steps:

  • Issuing an executive order aimed at establishing a clearer legal framework for the crypto industry.

  • Establishing a strategic reserve fund for Bitcoin and other digital assets.

  • Recently, an executive order was signed to expand the 401(k) investment portfolio to include alternative assets such as cryptocurrencies.

Although the impact of adding crypto to the 401(k) retirement plan may not be immediately evident, it is a sign that cryptocurrency is gradually advancing deeper into the traditional financial system.

Another important factor is the conclusion of the historic lawsuit between Ripple and the U.S. Securities and Exchange Commission (SEC).

Since the end of 2020, the SEC has sued Ripple for selling XRP to exchanges and institutional investors. After a 'half-win half-loss' ruling in the summer of 2023, both parties have appealed. But now, Ripple and the SEC have agreed to withdraw all appeals, officially closing the legal battle that lasted over 3 years.

This helps eliminate the biggest barrier for XRP, paving the way for potential institutions, companies, and governments to adopt XRP and XRP Ledger for cross-border transactions – in line with Ripple's original goal.

💡 New Catalysts: Spot ETF for XRP

One of the notable new drivers is the potential launch of a spot ETF for XRP.

Bitcoin and Ethereum have had spot ETFs, attracting huge buying volumes from institutions. The Grayscale Bitcoin Trust ETF alone holds over 180,000 BTC, enough to significantly impact market supply and demand.

With its position as the third largest cryptocurrency in the world, the emergence of a spot ETF for XRP seems to be an inevitable step. There are currently at least 9 spot ETF applications for XRP submitted to the SEC – not to mention major players like BlackRock have yet to officially participate. A decision from the SEC could come as early as this fall.

📊 Should You Buy XRP When the Price is Still Below 4 USD?

The recent surge in XRP's price is understandable: the lawsuit has concluded, market sentiment is positive, Bitcoin has reached new highs, and ETF expectations are high. However, it is important to note:

  • XRP still holds a small market share in global cross-border transactions.

  • Crypto prices are inherently volatile; history shows that even when reaching new highs, prices can experience deep corrections.

Therefore, XRP has the potential for price appreciation if the above factors continue to be favorable, but it remains a high-risk speculative investment. Investors should:

  • Only allocate a small percentage in the portfolio.

  • Be prepared for significant volatility.

  • Stay closely updated on ETF news and policies.

📌 Conclusion: XRP is having a "golden" moment thanks to favorable policies, the end of the lawsuit, and ETF expectations. But like any other crypto asset, risks always accompany opportunities. Smart investing means knowing when to accelerate and when to brake.