In a brief rally, XRP surpassed Tether to become the third-largest crypto asset by market value. Its price rose to $2.63, bringing its total market capitalization to $151 billion. However, the increase was not sustained; as of writing, XRP’s value dropped to $2.46 and a market cap of $144 billion. Despite this, the cryptocurrency experienced a gain of over 4% in the last 24 hours.
Factors Behind XRP’s Sudden Surge
The spike in XRP’s value was significantly influenced by a positive sentiment embraced by the community. According to CoinMarketCap, 88% of XRP community participants expressed optimism about the asset’s future. Another potential driver was rumors regarding BlackRock’s interest in filing for an XRP-based exchange-traded fund (ETF), which stirred market activity.
Although BlackRock has not made any official announcements regarding such a step, the rumors have had a noteworthy impact on XRP’s price. The possibility suggested by some well-known figures in the field has continued to be a topic of discussion, especially on social media platforms.
Expert Opinions and Recent Developments
Nate Geraci from The ETF Store mentioned that BlackRock may not let its competitors launch leading crypto asset ETFs. He floated the idea in March that BlackRock could initiate ETFs for both Solana 
$87 and XRP. This possibility has gained traction after the legal proceedings between the SEC and Ripple 
$1 concluded, potentially paving the way for such steps.
Following a settlement with the SEC, it’s reported that the legal barriers for XRP have been removed. Despite this, significant price movements are still observed to be based on speculative grounds.
BlackRock’s previous successes with ETFs have also led to similar expectations for XRP. The company had seen rapid growth in its largest Bitcoin 
$76,215 ETF, and now the XRP community is keeping a close eye on whether such developments will occur.
Meanwhile, XRP has surpassed Tether for the third time this year but is still 35% below its all-time high of $3.84 reached in January 2018. Experts advise caution on whether XRP will enter a sustained upward trend.
The temporary jump in XRP’s market cap is being closely monitored to see if new institutional products can continue to attract large investors. Legal processes and new investment tools are considered potentially decisive for XRP’s long-term success.
These developments could also be significant for the broader dynamics of the cryptocurrency market. Investors are advised to act cautiously in a volatile environment where speculation can directly affect prices.
