The cryptocurrency market has been energized by news of SEC Chair Gary Gensler’s resignation, with XRP experiencing a significant surge. As Bitcoin approaches the $100,000 milestone, altcoins perform strongly, including XRP and SOL.
Altcoin Surge Led by XRP and SOL Amid Regulatory Optimism
A shift in investor sentiment has been observed, with altcoins outperforming Bitcoin as its rally stabilizes. It led the charge, recording a 33% gain within 24 hours, while Solana (SOL) reached an all-time high above $260.
The anticipated regulatory changes following Gensler’s exit have fueled optimism, suggesting the next SEC leadership may approve investment products for smaller tokens and enable staking for ETFs.
Price Climbs Over 25% on SEC Leadership Change
The resignation of Gary Gensler, scheduled for January 20, 2025, has triggered bullish sentiment across the crypto market. XRP surged by approximately 25% daily, reaching $2, while the broader market witnessed Bitcoin hovering near $100,000.
This momentum has been attributed to expectations that the incoming administration will adopt a less aggressive approach to crypto regulation.
Read Also: Ripple Expands Financial Horizons with RLUSD Stablecoin
Ripple’s Legal Case Sparks ETF Speculations for XRP
Following Gensler’s resignation announcement, speculation surrounding a potential XRP ETF has been reignited. A favourable resolution in Ripple’s legal battle with the SEC could lead to the launch of XRP-focused exchange-traded funds.
21Shares, Canary Capital, and Bitwise have already filed applications for spot XRP ETFs, signalling heightened institutional interest.
XRP Price Predicted to Reach $5 Following Regulatory Shifts
Analysts are optimistic that XRP could hit $2 soon, possibly reaching $5 as regulatory uncertainty fades. The market’s confidence has been bolstered by Gensler’s departure and the potential for Ripple to secure a favourable outcome in its ongoing legal disputes.
These developments are expected to drive increased adoption and investment in XRP, positioning it as a key player in the evolving crypto landscape.
Broader Crypto Market Benefits From Regulatory Transition
The broader crypto market has responded positively to the anticipated regulatory changes. XRP, ADA, and SOL are among the tokens experiencing significant price increases.
As stablecoin supplies expand and institutional interest grows, Bitcoin’s rally is expected to continue, potentially reaching $115,000 by the end of the year. Meanwhile, altcoins like XRP are poised to capitalize on these favourable market conditions.
