XRP Surges 280% in Q4 2024, Reclaiming Spot as Third-Largest Cryptocurrency

Ripple CEO Brad Garlinghouse celebrated a historic Q4 2024, calling it a defining period for XRP, as the cryptocurrency achieved remarkable growth and expanded its ecosystem.

Ripple (XRP) had a historic Q4 of 2024, celebrating remarkable growth and expanding its ecosystem. XRP, which faced a turbulent market due to regulatory scrutiny, notably from the U.S. Securities and Exchange Commission (SEC), has shown impressive recovery, surging by 280% in Q4 to reclaim its spot as the third-largest cryptocurrency by market capitalization.

XRP had faced market manipulation allegations and regulatory pressures, which impacted its market performance in 2023 and early 2024. However, following the 2024 U.S. presidential elections and a shifting market landscape, XRP's price experienced a significant upswing in Q4.

This rally also coincided with growing institutional interest and demand for products built within the XRP ecosystem. As an example, the launch of Ripple USD (RLUSD) in late 2024 made waves in the crypto community, quickly achieving a $100 million market cap. Ripple has strategically highlighted RLUSD's ability to offer a faster, cheaper, and more secure cross-border payment solution.

Moreover, Ripple's integration of RLUSD with decentralized finance (DeFi) protocols provides a valuable asset for institutions looking to collateralize real-world assets such as commodities, securities, and on-chain treasuries.

Highlighting these achievements, Ripple Payments has captured a $70 billion payment volume and operates in over 90 global payout markets. These numbers showcase Ripple's continuous momentum in expanding its presence in the crypto and payment sectors.

XRP's strong rally can also be attributed to growing demand from institutional investors and retail traders. As reported by Ripple, Binance led the charge in spot trading, commanding a 36% market share, followed by Upbit Korea with 20% and Coinbase at 9%.

Significantly, the surge in trading volumes saw XRP spot trading averaging $5 billion daily between mid-November and December 2024, up from the previous month's $500 million.

December 2nd marked a record-breaking day for XRP, with approximately $25 billion in spot volume traded across major exchanges. This surge signals a shift in investor behavior, with more traders opting for spot trading rather than short-term speculation, a move that reflects confidence in the long-term value of XRP.

Adding to this momentum, Q4 of 2024 saw a series of XRP ETF filings from major financial firms. Notably, WisdomTree, Coinshares, and Bitwise filed for exchange-traded products (ETPs) related to XRP.

These filings indicate a growing institutional interest in XRP-based investment products. While the recent application from Grayscale to convert its XRP Trust into an ETF was not included in the Q4 report, its filing is expected to further drive institutional demand in the future.

It's also worth mentioning Ripple's efforts to ensure regulatory clarity and fairness in the crypto sector, a stance supported by former President Donald Trump, which has helped in the ongoing development of XRP-based products.

Trump's advocacy for a more balanced regulatory framework has been beneficial for Ripple's positioning in the market.