Ripple's XRP Could Resume Bullish Momentum Following RLUSD Approval

·

Ripple’s XRP is showing signs of renewed bullish momentum after the company received final regulatory approval for its U.S. dollar-pegged stablecoin, RLUSD. The green light from the New York Department of Financial Services (NYDFS) has sparked investor optimism, pushing XRP up nearly 7% in the immediate aftermath. While market dynamics remain complex—with large whale movements and fluctuating exchange reserves—the broader sentiment suggests a potential retest of key psychological price levels.

This development marks a pivotal moment for Ripple as it expands its financial infrastructure beyond cross-border payments into the rapidly growing stablecoin ecosystem.

RLUSD Gains Final Approval from NYDFS

Ripple CEO Brad Garlinghouse announced on social media that the company has secured final approval from the New York Department of Financial Services (NYDFS) for its stablecoin, RLUSD. This milestone clears the regulatory path for RLUSD to be listed on major cryptocurrency exchanges and integrated across Ripple’s global network of financial partners.

“This just in…we have final approval from @NYDFS for $RLUSD! Exchange and partner listings will be live soon – and reminder: when RLUSD is live, you’ll hear it from @Ripple first.”
— Brad Garlinghouse, December 10, 2024

RLUSD is designed to maintain a 1:1 peg with the U.S. dollar and will be backed by a reserve of cash, short-term U.S. Treasuries, and other cash equivalents—mirroring the structure of established stablecoins like USDT and USDC. By launching its own regulated stablecoin, Ripple strengthens its position in the digital asset economy and enhances liquidity options across its ecosystem.

The stablecoin initially entered beta testing in August 2024 on both the XRP Ledger (XRPL) and Ethereum blockchains. Since then, Ripple has onboarded key exchange partners including Uphold, Bitstamp, Bitso, MoonPay, Independent Reserve, CoinMENA, and Bullish—all set to support RLUSD upon launch.

👉 Discover how next-gen blockchain assets are reshaping global finance—explore real-time market movements here.

Strategic Partnerships and Liquidity Support

To ensure smooth market integration and price stability, Ripple has partnered with leading market makers B2C2 and Keyrock. These firms will provide essential liquidity to minimize slippage and maintain tight spreads during trading—a critical factor for institutional adoption.

The introduction of RLUSD is expected to generate multiple tailwinds for XRP, particularly by reinforcing Ripple’s role in cross-border settlements and remittances. A native, compliant stablecoin allows for faster, cheaper transactions while reducing reliance on traditional banking rails.

Moreover, RLUSD’s deployment on the XRP Ledger could increase transaction volume on the network, potentially boosting demand for XRP as the primary utility token used to pay fees and facilitate value transfer.

Whale Movements and Market Reaction

Despite the positive news, on-chain data reveals significant movement from large holders—commonly referred to as “whales.” According to CryptoQuant, over 2.66 billion XRP tokens were transferred to Binance within the past month, marking the largest inflow since April 2024. Such activity often signals potential selling pressure, which may have contributed to prior price volatility.

However, a closer look at exchange reserves paints a more nuanced picture. During the same period, Binance’s overall XRP reserve dropped by 320 million tokens, suggesting that strong buying interest absorbed much of the incoming supply.

This dynamic indicates active market participation from bullish investors who view recent price dips as accumulation opportunities. It also reflects growing confidence in Ripple’s long-term roadmap, especially with RLUSD now cleared for launch.

XRP Technical Outlook: Can It Retest $3?

Following a bounce from the $1.90 support zone, XRP reclaimed the **$1.96 level and surged over 7%, briefly surpassing $2.05. The recovery coincided with increased trading volume and a break above the 23.6% Fibonacci retracement level**, a sign of short-term bullish momentum returning.

If this trend holds, technical analysts suggest XRP could aim for the $2.58 resistance level**, followed by a retest of the critical **$3 psychological barrier—a level where previous rallies faced strong selling pressure.

Key indicators currently reflect mixed signals:

A daily candlestick close below **$1.96** could invalidate the current bullish thesis, while sustained trading above $2.20 would reinforce upward trajectory.

Per Coinglass data, over **$50 million in liquidations** occurred in the past 24 hours, with long positions accounting for $31.2 million and shorts $18.97 million—indicating a volatile but balanced market sentiment.

👉 Stay ahead of market shifts with advanced analytics and real-time price tracking tools.

Frequently Asked Questions (FAQs)

Q: What is RLUSD?
A: RLUSD is Ripple’s U.S. dollar-pegged stablecoin, backed by cash reserves and short-term U.S. Treasuries. It aims to facilitate fast, low-cost transactions across RippleNet and other blockchain platforms.

Q: How does RLUSD benefit XRP?
A: RLUSD strengthens Ripple’s ecosystem by increasing transaction activity on the XRP Ledger. This can boost demand for XRP as the native fee token and enhance overall network utility.

Q: Who regulates RLUSD?
A: RLUSD has received final approval from the New York Department of Financial Services (NYDFS), one of the most stringent financial regulators in the United States.

Q: Why are whales moving large amounts of XRP?
A: Whale transfers often precede selling activity, but declining exchange reserves suggest that buyers are absorbing supply. This could indicate accumulation rather than panic selling.

Q: Is XRP heading back to $3?
A: Technically possible if momentum holds above $1.96 and volume increases. A retest of $3 is feasible in a bullish scenario, though resistance remains strong at that level.

Q: What factors influence XRP’s price?
A: Key drivers include regulatory developments (like RLUSD approval), institutional adoption, exchange inflows/outflows, macroeconomic trends, and overall crypto market sentiment.

Core Keywords

With RLUSD now officially approved and poised for exchange listings, Ripple enters a new phase of growth that could significantly impact XRP’s adoption and market performance. As regulatory clarity improves and infrastructure expands, investor interest is likely to intensify—especially if technical conditions align for a sustained rally.

👉 Monitor live price action and trade emerging opportunities in real time—start exploring now.