There are no more hotter cryptocurrencies on the planet today than they are now XRP(Cryptography: XRP). It has risen by more than 140% over the past three months, with no signs of a halt anytime soon. In 2025, it has already grown by 14%, making it the highest major cryptocurrency.
But does XRP have enough gas in the tank to reach $5 in 2025? Given the current price of around $2.65, it would require almost twice the price for the XRP in a relatively short period of time. It’s not impossible, but here are three things that need to happen:
That’s what the company created the XRP Crypto token Ripplesa San Francisco-based blockchain technology company. Unfortunately, for over four years, Ripple has been locked up in an epic court battle with the Securities and Exchange Commission. In December 2020, the SEC argued that XRP is security and that IT company sales violate securities laws. Since then, there have been dark adjustment clouds hanging in the XRP.
Therefore, the Trump administration’s custody approach is extremely important for XRP’s future. That has led to types of regulatory changes such as big shakeups in the SEC. Creating a new regulatory framework for cryptographic purposes -It will probably make Ripple much easier to go back to business as usual.
In fact, if the restrictions are removed, we are already beginning to see what is possible. In 2025, Ripple is once again lining up new financial services partners for XRP-powered payment and transfer networks. They have launched new financial products to enhance XRP integration and adoption, and if they are bullish on XRP, they are once again actively employed in the US.
Another important catalyst that could double XRP this year is the launch of the new Crypto Spot Exchange-Traded Funds (ETF). More and more investment companies are already submitting their Spot XRP ETF applications to the SEC. Bitcoin ETFS.
Therefore, it seems easy for at least one of these applications to be approved in the end. The big problem is: when? The original idea is that the Trump White House will open floodgates for new SEC approval, and some people believe that the XRP ETF could arrive soon in the first quarter of this year. It was there.
Image source: Getty Images.
The current idea is that the new Spot XRP ETF could begin trading by mid-2025. If so, they could unleash a new torrent of money in XRP. According to jpmorgan chainas many as $8 billion new money could flow into XRP. If the majority of that money comes from long-term institutional investors, it’s even better as it helps to drive out short-term speculators trying to make quick money on XRP.
One of the most interesting crypto stories of 2025 is the potential creation of US digital asset reserves. Originally, this would be a stockpile of Bitcoin, known as the Strategic Bitcoin Reserve. But now, the strategic reserve also claims to hold other top cryptocurrencies that are essential to America’s long-term profits.
No surprise here, but top Ripple executives are in contact with the Trump White House and XRP should be part of the stockpile as a US crypto token to support payment flows with other countries He claims that.
If the US government decides to add XRP to the mix, it is huge given the enormous size of the proposed national digital assets stockpile. The current idea is that the US government promises to purchase 200,000 Bitcoin per year for the next five years. Today’s Bitcoin price is around $100,000, which is around $20 billion a year. Now imagine the US government is buying $20 billion worth of XRP every year! It probably warns the money flowing into XRP via the new spot ETF.
One way to get a quick sense of market emotion surrounding XRP is to check your activities in online forecast markets such as Polymarket. So participants are putting real fiat money (not cryptofun money) at risk to the outcome of various events. This makes these predictions much more reliable than the typical ones seen on social media where there is no false cost.
At this point, only 17% believe that XRP will be added to the national digital assets stockpile in 2025. Only 45% believe that new XRP investment products will receive approval from the Spot XRP ETF by July 31st.
Based on these numbers, you shouldn’t trust yourself to hit $5 on XRP in 2025. After all, two important catalysts that can boost XRP’s fate are less than 50% likely to occur this year. XRP could continue to outperform the Crypto market this year, but definitely hold your expectations down.
Consider this before purchasing stock on XRP.
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Dominique Bassult There is no position in any of the stocks mentioned. Motley Fool has a position in XRP and recommends. To Motley’s fool Disclosure Policy.