XRP, the payments-focused cryptocurrency, has surged past the $3 mark for the first time in seven years, reaching a market capitalization of $174 billion. This surge comes despite an ongoing legal battle with the U.S. Securities and Exchange Commission (SEC).
XRP Overtakes Tether to Claim Third Spot in Market Cap
XRP experienced a remarkable 8% jump in just 24 hours, pushing its market valuation past Tether (USDT) to become the third-most valuable cryptocurrency. To put this into perspective, XRP’s market cap is now larger than that of Palantir Technologies (NASDAQ: PLTR), a major software company listed on Wall Street.
The cryptocurrency’s trading volume also saw a significant increase, climbing by 121% over the last 24 hours to reach $23.20 billion. XRP now ranks as the fourth-most traded cryptocurrency, trailing behind Bitcoin (BTC), Ethereum (ETH), and Tether.
Surge Attracts Massive Attention
XRP’s dramatic rise has sparked widespread attention, with search interest for the coin hitting its peak on Google Trends. The surge in popularity has also driven speculative interest, with Open Interest in XRP futures rising nearly 15% to $7.32 billion, according to Coinglass. Notably, Open Interest in XRP futures has nearly tripled since the beginning of 2025.
What’s Driving XRP’s Surge?
One factor contributing to XRP’s impressive rally is speculation about a potential shift in the SEC’s stance under a new leadership. The incoming Trump administration is expected to take a more cryptocurrency-friendly approach, which has investors hopeful for favorable regulatory changes.
There is also growing optimism surrounding the approval of XRP spot exchange-traded funds (ETFs) and the anticipated launch of Ripple Labs’ RLUSD stablecoin.
Ripple Labs has been embroiled in a nearly four-year-long legal dispute with the SEC regarding the classification of XRP. The SEC has argued that XRP should be considered a security, while Ripple maintains it is a digital asset. The potential change in leadership at the SEC has fueled hopes that the agency’s new approach will benefit the cryptocurrency.
SEC Appeals 2023 Ruling
However, the SEC has not relented in its legal fight. Late Wednesday, the agency filed an appeal to overturn a 2023 ruling that determined Ripple’s programmatic sales of XRP to retail clients did not violate securities laws. This decision was seen as a victory for Ripple, but the SEC’s appeal suggests the legal battle is far from over.
XRP’s recent surge in value reflects both the growing confidence of investors in the cryptocurrency’s future and the continued uncertainty surrounding its legal status. As the legal battle with the SEC continues, all eyes will be on the potential changes in regulatory attitudes under new leadership.
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