XRP News: Potential 45% Price Rally Amid $84M Token Outflows

XRP is currently showing signs of a potential 45% price rally despite recent $84 million in token outflows. The cryptocurrency, after hitting a 7-year high, entered a consolidation phase but remains poised for further upside due to strong confidence from long-term holders and traders.

XRP – $84M in token outflows, but is a 45% price rally next?

XRP, at the time of writing, seemed poised to continue its upside rally thanks to strong interest and confidence from long-term holders and traders. This, despite the fact that over the last 48 hours, the altcoin has been in consolidation mode, undergoing a price correction after hitting a 7-year high on the charts. On 11 January, XRP broke out from a bullish flag and pole price action pattern, entering a consolidation phase before recording a significant 30% upside rally. During this rally, long-term holders who bought XRP at lower prices began selling their holdings on exchanges. On 18 January, for the first time in the last five days, long-term holders' interest increased again. At press time, 68.4% of top XRP traders on Binance held long positions, indicating a bullish sentiment. Analysts predict that XRP could soar by another 45% on the charts to hit the $4.5-level.

XRP Price Prediction – Bullish Metrics Amid Volatility Risks

XRP has recently hit a 7-year high, surpassing the $3 mark, with a 52% increase since January 1st. Whale accumulation has been strong, with over 1.4 billion XRP purchased in the last two months, indicating a 35% hike in demand. Despite these bullish indicators, there are volatility risks for traders, highlighted by a rising leverage ratio which, while a sign of bullish optimism, also serves as a warning for futures and perpetual traders. Metrics show reduced deposits of XRP to exchanges, suggesting a potential decrease in selling pressure in the near-term.

OpenAI and Crypto Firms’ Contributions to Trump Fund Questioned by Lawmakers

US lawmakers, including Senators Elizabeth Warren and Michael Bennett, have raised concerns about corporate donations to Trump’s inauguration fund, particularly from tech and cryptocurrency firms. In a letter to OpenAI’s Sam Altman, they requested details about his contribution. Major tech companies like OpenAI, Microsoft, Google, and Amazon have collectively donated millions, while cryptocurrency firms such as Ripple, Coinbase, Kraken, Robinhood, and Circle contributed around $10 million. These funds are expected to support high-profile inaugural events, reflecting Optimism within the digital and tech sectors.

Regulatory Clarity Tops Crypto Industry’s Agenda for Trump’s Second Term

The cryptocurrency industry is closely monitoring the incoming Trump Administration for potential executive actions that could shape the future of digital assets. A key priority is an executive order that would encourage regulatory agencies, including the Commodity Futures Trading Commission (CFTC) and the Securities and Exchange Commission (SEC), to collaborate on creating a comprehensive framework for digital asset policy. While Congress will ultimately decide how to classify crypto assets, such an executive order could prompt these agencies to conduct research that advances the issue. Major U.S. firms like Coinbase Global Inc. and Ripple Labs have long advocated for clear regulatory guidelines tailored to digital assets. Additionally, Trump is expected to appoint pro-industry leaders to influence crypto policy.