Core Insights - XRP, the native cryptocurrency of the XRP Ledger, reached a record high price of $3.84 on January 4, 2018, marking a gain of over 70,000% over the previous five years [1][2] - By June 2022, XRP's price had dropped to as low as $0.31 due to the SEC lawsuit against Ripple Labs and other market pressures [3] - XRP's price has rebounded to around $3, with potential for further increases in the next 12 months [4] Market Dynamics - The rally in XRP's price was driven by the broader crypto boom of 2017-2018, a buying frenzy in South Korea, and expectations of Ripple Labs integrating XRP into more fintech partnerships [2] - The SEC lawsuit, which claimed Ripple sold XRP as unlicensed securities, concluded in August 2023 with Ripple being fined $125 million, significantly lower than the initial $2 billion demand [5] - The court ruled that XRP sold on public exchanges is not a security, while those sold to institutional investors are classified as securities, allowing Ripple to resume direct sales to institutional investors [6] Recovery Factors - Following the resolution of legal challenges, major exchanges relisted XRP, and several crypto firms applied for new XRP spot price exchange-traded funds (ETFs) [7] - Declining interest rates in 2024 and 2025 are expected to further support XRP's price recovery as the "crypto winter" ends [7] - XRP is gaining traction as a bridge currency on Ripple's network, facilitating faster, cheaper, and more secure transfers compared to traditional banking methods [8]