XRP Price Outlook: Can Ripple Reach $20 with New SEC Leadership and ETF Approval?
XRP Price Predictions – The news of Gary Gensler’s resignation as Chairman of the U.S. Securities and Exchange Commission (SEC) is creating a buzz across the crypto world. His resignation, set to take effect on January 20, 2025, marks the end of a notable era in the cryptocurrency regulatory landscape. Under his leadership, the SEC has been heavily involved in the ongoing legal battle between the commission and Ripple (XRP), which many believe has significantly impacted XRP’s price. With Donald Trump set to become the 47th President of the United States, and his nomination of Paul Atkins as the potential SEC chair, many investors are eagerly awaiting changes in both regulatory approaches and the performance of XRP in the market.
Gensler’s Farewell: A Look Back on His SEC Tenure
Gary Gensler’s resignation is slated for January 20, 2025, at 12:00 PM, marking the end of his term as the 33rd SEC Chairman. He took office on April 17, 2021, and has led the commission through various regulatory actions, including high-profile investigations into cryptocurrency projects. Gensler has made his stance on crypto clear, especially in regard to XRP, which he classified as a security in the ongoing case with Ripple Labs.
While his official farewell speech is yet to come, Gensler has already shared reflections on his tenure, celebrating the SEC’s work under his leadership. In a recent post, he highlighted the commission’s achievements, including overseeing more than 2,700 cases, returning $2.7 billion to the public, and finalizing 46 rule changes. He has repeatedly expressed his belief in the importance of capital markets, competition, and ensuring common-sense rules that benefit both investors and issuers alike. It is likely that Gensler’s farewell speech will touch on these themes once again, potentially offering insights into his views on XRP and other significant regulatory matters.
Will Gensler’s Departure Spark an XRP Price Surge?
The resignation of Gary Gensler comes amid a surge of optimism in the XRP market. Ripple’s legal struggles with the SEC have caused a significant downturn in XRP’s price. At its peak, XRP reached $3.80, but due to the SEC’s allegations that it was an unregistered security, the token’s value plummeted, with many periods where it traded below $0.50.
However, recent events have shifted the sentiment in favor of Ripple, especially with Donald Trump’s election victory and the news of Gensler’s upcoming departure. Just before Trump’s win, XRP hit a 7-year high of $3.38, signaling renewed investor interest. Some speculate that this price increase is due to the combination of Gensler’s resignation and the anticipation of a regulatory shift under Trump’s administration, possibly leading to more favorable conditions for Ripple and the broader cryptocurrency market.
Stuart Alderoty, Ripple’s Chief Legal Officer, remarked that with Gensler’s departure, the industry might witness a new regulatory chapter. “Starting tomorrow, ‘Gary who?’ will be the only appropriate response,” Alderoty quipped, emphasizing the significant shift that may occur in the regulatory landscape.
Paul Atkins: The Potential New SEC Chairman
As Paul Atkins is considered for the role of SEC Chair under President Trump, market participants are keen to see how his regulatory stance might differ from Gensler’s. Atkins, a former SEC commissioner, has a background that suggests a more pro-market approach to crypto regulation. Should he be confirmed, the XRP market could benefit from his more lenient and business-friendly policies, which could signal a new era of clearer and more predictable rules for cryptocurrencies.
Additionally, the appointment of a new SEC chair could play a critical role in Ripple’s ongoing legal battle with the SEC. The market anticipates that under new leadership, the regulatory body might reconsider its stance on whether XRP is classified as a security. This uncertainty surrounding XRP’s regulatory status has likely contributed to the price volatility over the past years.
XRP Price Forecast: Can It Hit $20?
As of January 2025, XRP is currently trading at $3.15 after a 6% price consolidation. This recent consolidation follows a period of significant price growth, which saw XRP surge to a 7-year high earlier this week. Crypto analysts, such as Andrew Griffiths, have noted that XRP might be forming a consolidation phase, with a potential trend reversal zone between $2.80-$2.90.
According to Griffiths, the ongoing Wave 3 in Elliott Wave Theory might be nearing completion, signaling a possible Wave 4 corrective phase before a further bullish move. Griffiths suggests that investors should remain cautious and observe the market for the potential to resume the bullish trend in Wave 5, which could push XRP back to $3.30 in the near term.
Looking longer-term, some experts believe XRP’s price could soar as high as $20, especially with the approval of a Ripple-backed ETF. There is currently a 66% probability of Ripple ETF approval according to data from Polymarket, and should this occur, the resulting inflows could boost XRP’s price substantially. JPMorgan estimates that the Ripple ETF could bring in $4-$8 million in the first year, further driving price momentum.
The Impact of Gensler’s Resignation on XRP’s Future
The broader sentiment in the cryptocurrency market remains optimistic regarding XRP’s long-term future, with many speculating that Gary Gensler’s resignation could provide the regulatory clarity that XRP has been seeking for years. Despite the market’s overall bullish outlook, caution is advised, as investor sentiment can shift quickly, especially during periods of high uncertainty, such as changes in political leadership or regulatory decisions.
In the immediate term, XRP’s price could experience fluctuations, as market uncertainty and mixed investor sentiment continue to play a significant role. However, the longer-term outlook for XRP remains positive, with many predicting that the token could reach $20 or more, particularly if regulatory clarity improves, the Ripple ETF is approved, and Trump’s presidency brings about more favorable conditions for the cryptocurrency market.
The Future of XRP Post-Gensler
Gary Gensler’s resignation marks a pivotal moment in the XRP saga and the broader cryptocurrency market. While the immediate market reaction is unclear, the upcoming changes in regulatory leadership under Donald Trump and the potential confirmation of Paul Atkins as the new SEC chair could have significant ramifications for Ripple and the overall crypto space. As investor sentiment shifts, XRP’s price could experience notable upward momentum, especially if regulatory clarity improves and the long-awaited Ripple ETF is approved. However, caution remains essential as the market navigates through uncertainty in the coming months.
Disclaimer: This article is for informational purposes only and does not constitute investment advice. Cryptocurrencies and stocks, particularly in micro-cap companies, are subject to significant volatility and risk. Please conduct thorough research before making any investment decisions.
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