Bitcoin Retreats as Trading Range Forms, XRP Soars on SEC Speculation
Bitcoin fell back slightly on Monday, remaining in a trading range just below the coveted $100,000 level, while XRP emerged as a standout performer on speculation that the Securities and Exchange Commission (SEC) could drop its case against issuer Ripple.
The world’s biggest cryptocurrency slipped 1.4% to $95,864.0, after falling into a trading range of between $90,000 and $100,000 over the past two weeks. The recent rally in crypto markets was driven by optimism over a Donald Trump presidency, which is expected to entail friendlier crypto regulation.
Bitcoin’s rangebound performance was also driven by a measure of profit-taking at record highs, with traders seeking more clarity on what Trump’s policies will entail for crypto. Trump has promised to make the US the crypto capital of the world and has floated the idea of a Bitcoin Strategic Reserve.
XRP surged over 28% to $2.44 on Monday, flipping stablecoin Tether to become the third-largest crypto by market capitalization, at approximately $139 billion. The token was fueled largely by speculation that a looming change in leadership at the SEC will see the regulator drop its long-running lawsuit against XRP issuer Ripple.
The SEC Chair Gary Gensler is set to resign as Trump takes office in January, with former Commissioner Paul Atkins reportedly being considered as his replacement. Atkins has openly expressed support for digital assets.
Broader crypto prices were mostly rangebound on Monday, with risk appetite rattled by Trump’s threat to impose steep tariffs on the BRICS bloc of countries. Among other notable price movements, Ethereum fell more than 2%, while Dogecoin added around 3%.
MicroStrategy, a business intelligence firm, continued to expand its Bitcoin holdings, acquiring 15,400 BTC for roughly $1.5 billion between November 25 and December 1. The company now owns 402,100 BTC, valued at over $38 billion, and aims to raise $42 billion over the next three years to fund further Bitcoin purchases.