Ripple Labs-backed XRP has seen a remarkable rally, surging over 11 percent in the past 24 hours to reach a new all-time high of above $3.5 on Thursday, July 17, during the late North American trading session. The large-cap altcoin, boasting a fully diluted valuation of approximately $345 billion, experienced a 105 percent increase in its daily average traded volume, now hovering around $17.3 billion.
The heightened volatility in XRP’s price led to over $66 million being liquidated from XRP leveraged markets, with short traders bearing the brunt of nearly $48 million in liquidations.
Key Metrics for XRP Signal Bullish Sentiment
The surge in XRP’s price to a new all-time high was preceded by a significant uptick in its futures Open Interest (OI) over the past few months. According to data from Coinglass, XRP’s OI skyrocketed to over $10 billion, indicating the growing presence of speculative traders in the market.
Additionally, analysis from Coinglass shows that the XRP funding rate has reached positive peaks in recent weeks, signaling a bullish sentiment. Historically, sustained positive funding rates are indicative of a bullish market sentiment.
Top Reasons Behind Today’s Pump
The recent pump in XRP’s price to above $3.5 can be attributed to the passing of three crypto bills in the United States House of Representatives. This move towards legal clarity is expected to facilitate Ripple’s product rollout in the United States, including its Ripple USD (RLUSD).
Furthermore, the bullish outlook for XRP is supported by Ripple’s strong fundamentals, including the anticipated resolution of the lawsuit filed by the SEC. As a result, more institutional investors are turning to XRP as a hedge against inflation and a treasury management tool.
What Next?
The surge in XRP’s price to a new all-time high coincides with Ethereum (ETH) breaking above $3.4k. With Bitcoin dominance waning in favor of the altcoin market, the possibility of an altseason in 2025 has significantly increased.
From a technical analysis perspective, XRP’s price movement has followed a similar bullish fractal pattern to the rally seen in 2017.
In conclusion, XRP’s recent price surge to new highs reflects a combination of favorable market conditions, regulatory developments, and strong fundamentals for Ripple. As the cryptocurrency market continues to evolve, XRP remains a key player to watch.