The main reasons for the rise of XRP are as follows:

Regulatory and legal aspects

• Optimistic expectations for litigation: Ripple's legal dispute with the U.S. Securities and Exchange Commission (SEC) has lasted for many years, and investors are optimistic about the outcome of the lawsuit recently. If Ripple wins the case or reaches a favorable settlement, it will eliminate regulatory uncertainty and create a favorable environment for the development of XRP.

• Expectations for changes in regulatory policies: With the coming of the new government, the leadership of the SEC may change. The market expects that the new SEC leadership will adopt a more relaxed and friendly attitude, which is good news for XRP.

Market and investment aspects

• Increased institutional investment: XRP is closely related to Ripple's cross-border payment business. Some financial institutions and companies are optimistic about its application prospects in the field of cross-border payments and have increased their investment in XRP. In addition, some institutions have recently submitted ETF proposals for XRP, which has also increased the market demand for XRP.

• Market sentiment and speculative factors: The overall performance of the cryptocurrency market is active, and investors' interest in cryptocurrencies has increased. As one of the cryptocurrencies with a larger market value, XRP has attracted market attention and popularity. At the same time, some investors may have made speculative purchases based on their expectations of future price increases for XRP, driving up prices.

Technology and application level

• Technical advantages: XRP Ledger (XRPL) technology used by XRP has the characteristics of high efficiency, low cost, and fast settlement, which can meet the needs of cross-border payment and other fields. Its transaction speed is fast and it can process a large number of transactions per second, which has certain advantages over other cryptocurrencies.

• Application scenario expansion: Ripple actively promotes the application of XRP in cross-border payment, remittance and other fields, and has established cooperative relationships with many financial institutions and enterprises. With the continuous expansion of these application scenarios, the demand for XRP is also expected to increase.