XRP is booming: What's behind today's price increase?

XRP is booming: What's behind today's price increase?

On February 14, the price of XRP surged 7% as the Securities and Exchange Commission (SEC) confirmed the ETF filing by Grayscale and announced the tokenization of real assets (RWAs) on the XRP Ledger. The move pushed XRP above the $2.61 level, while the overall market capitalization of cryptocurrencies remained stable.

The main factors that contributed to this surge are:

1. RWA tokenization: Elysia launched a new token pool on XRP Ledger called TBill, which is backed by US Treasury bills. Users can wager XRP and earn a return on these investments, increasing the attractiveness of XRP as a stable investment.

2. SEC approval: the SEC accepted Grayscale's application to convert the XRP Trust into an ETF, which sparked optimism among investors and led to a sharp rise in the price of XRP.

This combination of events triggered a strong bullish trend, which was reflected in the derivatives market, where short positions worth over $4.2 million were liquidated.

Technical indicators suggest that XRP could continue to rise if it manages to stay above the $2.65 level. If the bulls break above $2.80 again, we could see another rise to all-time highs above $3.40.

*This is not an investment recommendation.

Coingarage Team