News on Crypto Currency: XRP Tops $1 Amid SEC Optimism

News on Crypto Currency: XRP Hits $1.2, First Time in 3 Yrs

XRP surged past the $1 mark for the first time in three years, peaking at $1.2 on Saturday. This significant climb was influenced by market speculation around the potential departure of SEC Chair Gary Gensler. Under his leadership, Ripple has been in an ongoing legal battle with the SEC, making XRP’s valuation particularly sensitive to developments involving the regulator. This newfound optimism has revitalized investor interest and propelled the altcoin's performance.

Altcoin Market Gains Momentum as Fear and Greed Index Stays High

The broader cryptocurrency market has also experienced a notable boost, reaching a new capitalization high of $3.09 trillion on Monday, with a 1% increase in just 24 hours. The Cryptocurrency Fear and Greed Index, which had peaked at 90 over the weekend (a level not seen since late 2020 and early 2021), settled at 83 by Monday, indicating ongoing extreme greed in the market. This bullish sentiment has particularly benefited altcoins like XRP, Dogecoin, and Cardano.

Bitcoin Steady While Traders Shift Focus to Altcoins

Bitcoin experienced a 3% dip over the weekend, but rebounded with a 4% surge on Monday, pushing its price above $91,500. The recent movement highlights a shift where institutional traders are actively participating as retail investors pivot to altcoins, seeking potentially higher short-term gains. The growing momentum among altcoins is reflected by the rise in the Altcoin Season Indicator, which climbed from 23 on November 4th to 42.

ETF Inflows and Market Dynamics

US spot Bitcoin ETFs witnessed net inflows of $1.67 billion last week, marking the sixth consecutive week of positive investment, bringing cumulative inflows to $27.46 billion since their January debut. Ethereum ETFs also saw a record high inflow of $515.2 million, contributing to a total of $178.4 million since their July approval. This trend showcases sustained institutional interest in cryptocurrency-backed financial products.

Bitcoin Reserve Bill: Potential Catalyst for Future Growth

A new bill proposing a US Bitcoin reserve has added fuel to market speculation. If passed, the US government could purchase up to 1 million BTC over five years, using the Fed’s gold reserves as funding. This strategic move could position Bitcoin as a counterbalance to gold, signaling a potential paradigm shift in asset reserves and driving long-term growth in Bitcoin’s valuation.