XRP has risen more than 25% in the past 24 hours, reaching its highest level since May 2021. Ripple’s token price reached $1.43 after SEC Chairman Gary Gensler announced his resignation on November 21, 2024, effective January 20, 2025. This price increase comes as part of a broader rally in the crypto market, fueled in part by the optimism surrounding Donald Trump’s re-election. XRP is up more than 150% in the past 30 days, compared to around $0.5 where it had traded for much of the past two years.

The departure of Gensler, who had been a key figure in the ongoing legal battle between Ripple and the SEC, is seen as a potential turning point for the cryptocurrency. The SEC has accused Ripple of raising $1.3 billion through the sale of XRP, which it considers an unregistered security. The lawsuit, filed in 2020, led to XRP being delisted from several exchanges and its value plummeting.

In July 2023, Ripple won a temporary victory when a judge ruled that sales of XRP on exchanges were not securities, leading to a short-term price increase. However, the SEC appealed, continuing the uncertainty surrounding XRP’s status. Gensler’s resignation has led to speculation that the SEC would drop its appeal or settle with Ripple, reducing regulatory uncertainty that has weighed on the token.

The news has also contributed to gains in other cryptocurrencies. Bitcoin, for example, is approaching the $100,000 mark, and analysts believe that regulatory changes under the new administration could be more beneficial to the crypto industry. XRP’s recent price increase is supported by market sentiment that could improve the regulatory environment for cryptocurrencies, especially with the possible launch of XRP Exchange Traded Funds (ETFs).

21Shares, Canary Capital, and Bitwise have all filed applications for spot XRP ETFs, which could further increase institutional interest in the token. Ripple’s legal challenges with the SEC are likely to diminish under the new administration, and some analysts predict that XRP could soon reach $2.

Former SEC commissioner Paul Atkins is widely considered a likely successor to Gensler. Atkins is known for his pro-crypto stance and could help shape a more supportive regulatory framework for digital assets, which would benefit the long-term prospects of Ripple and XRP. XRP is currently trading at $1.40, with a market cap of $80 billion, and continues to capture investor attention.