Can XRP (Ripple) Reach $5 in 2026?

Core Insights - Not all cryptocurrencies have a legitimate purpose, leading to extreme volatility and difficulty in maintaining gains, with XRP being an exception due to its role as a bridge currency for the Ripple Payments network [1] - XRP experienced a significant price increase following a regulatory win in the U.S., reaching a seven-year high, but has since declined over 40% from its peak [2] - The Trump administration is expected to continue supporting the crypto industry, which may benefit Ripple Payments and potentially drive XRP's price above $5 next year [3] Company Overview - Ripple Payments facilitates direct communication between banks, allowing for instant transfers and reducing costs associated with intermediaries in cross-border transactions [4] - XRP was designed to standardize transactions, enabling banks to send XRP tokens instead of local currencies, significantly lowering foreign exchange fees [5] - The total supply of XRP is 100 billion tokens, with 60.3 billion in circulation and 39.7 billion held by Ripple for gradual release to meet institutional demand [6] Regulatory Context - Ripple has resolved its legal battle with the U.S. Securities and Exchange Commission (SEC), which previously argued that XRP should be classified as a financial security [6] - The recent regulatory environment may lead to lighter regulations for XRP, potentially enhancing its viability as a payment mechanism [7]