XRP Jumps 17%, Outperforms Rest of the Market as Rally Cools; Trader Thinks $120K Bitcoin Target Still in Play

XRP zoomed 17% in the past 24 hours to beat gains in bitcoin BTC] and majors, as shifting U.S. regulatory climate supported growth in tokens previously hampered by the Securities and Exchange Commission’s (SEC) actions.

XRP traded above 82 cents in early Asian trading hours Friday, extending 7-day gains to 50% as it reached levels last seen in June 2023. The jump came as 18 U.S. states filed to sue the

SEC and commissioners, including chairman Gary Gensler, accusing them of unconstitutional overreach of the crypto industry.

The speculative optimism among traders is that a crypto-friendly Trump administration could benefit tokens linked to U.S.-based companies, such as Ripple Labs (related to XRP) and Uniswap (UNI), as the firms are more involved in boosting value for token holders.

Meanwhile, BTC and majors slid as much as 4% amid profit-taking in late U.S. hours Thursday, an expected market reaction following several days of growth.

The drop was catalyzed as Fed chair Jerome Powell delivered hawkish comments in his latest speech, dampening hopes of swifter rate cuts. “The economy is not sending any signals that we need to be in a hurry to lower rates,” said Powell in prepared remarks at a Dallas conference. “The strength we are currently seeing in the economy gives us the ability to approach our decisions carefully.”

As of Friday, the market is pricing in a 66% chance of a 25 basis point cut in the upcoming December FOMC meeting, down from Thursday’s 83%.

BTC fell to $88,000 from a peak of $93,000 on Thursday, with the drop causing over $120 million in liquidations on both bullish and bearish bets. Ether <a href="https://coindesk.com/price/ethereum/" data-position="autolink" title="Ethereum Price