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Welcome to another exciting week in the world of XRP, where volatility, legal battles, and technological advancements continue to shape the narrative of this cryptocurrency.

Here’s what you need to know about XRP’s performance this week:

Market Movements

XRP kicked off the week with a significant rally, gaining almost 274% in the last month and an additional 30% in just the last 24 hours as of early December 2024. This surge was largely fueled by the news of SEC Chair Gary Gensler’s resignation, effective January 2025. The crypto community is buzzing with speculation about what this might mean for XRP, particularly with talks of a potential XRP-based ETF on the horizon, which could further drive the price up.

However, the week wasn’t without its dips. After reaching a four-year high of $2.91, XRP experienced a 17% drop in the following days, likely due to profit-taking as investors realized over $5.86 billion in profits. This back-and-forth movement has kept traders on their toes, with XRP needing to overcome the $2.92 level to potentially hit a new all-time high of $3.57.

On-Chain Data and Whales

The on-chain data paints an interesting picture. Despite the sell-off, the sentiment among XRP holders remains bullish, with the Market Value to Realized Value (MVRV) ratio indicating an average profit of over 388% among investors. Notably, whales, especially those holding between 1M to 10M XRP, have slightly tilted towards accumulation rather than selling, hinting at their confidence in further price growth.

However, there’s a cautionary note as well. The influx of new whale investors post-US election might lead to panic selling if XRP declines toward their cost basis. This could introduce volatility, but the growth in weekly active addresses to a sixteen-month high of 495K suggests a broadening base of interest and activity around XRP.

Regulatory and Legal Developments

The ongoing legal battle with the SEC remains a focal point for XRP’s future. While no major updates were reported this week, the community’s hope is pinned on a resolution that could clear regulatory hurdles, potentially opening the door for broader institutional adoption.

In light of regulatory news, Ripple Labs CTO David Schwartz expressed optimism at The Emergence conference about launching their RLUSD stablecoin before year’s end, although rumors of an imminent launch were debunked by Ripple itself.

Technical Analysis

From a technical standpoint, XRP’s recent price action has been trying to recover after dipping below key Fibonacci Retracement levels. Analysts look at the $2.58 level as a critical point for a potential retest of higher levels, with the $2.92 resistance being pivotal for any new all-time high aspirations. Technical indicators like the RSI and Stochastic Oscillator suggest an overbought condition, which could signal a forthcoming correction unless bullish momentum sustains.

Looking Ahead

As we move forward, a few key events and trends to watch include:

• Regulatory Clarity: The potential impact of Gensler’s resignation on cryptocurrency regulation could be significant for XRP, especially with the looming possibility of an ETF.
• Stablecoin Launch: The launch of RLUSD could further integrate XRP into practical financial use cases, potentially supporting price stability or growth.
• Market Sentiment: With high profitability among holders, the market’s reaction to any news or developments will be crucial.

XRP’s journey through this week has been a testament to its volatility but also its resilience. As always, investors are advised to approach with caution, keeping an eye on both market trends and regulatory news.

Stay tuned for next week’s developments in the XRP ecosystem, where the saga of speed, efficiency, and legal battles continues to unfold.

This blog post provides a snapshot of XRP’s performance and the events shaping its market behavior. Remember, the crypto world is ever-changing, and staying informed is key to navigating these waters.