Ripple (XRP) eyes further gains after Senator Bill Hagerty stated that the GENIUS stablecoin act will be passed next week

input: Ripple (XRP) eyes further gains after Senator Bill Hagerty stated that the GENIUS stablecoin act will be passed next week, which may bode for US native stablecoins such as RLUSD. If RLUSD grows as a result of friendly stablecoin regulations and attains half of Tether’s $150 billion market cap, what would be the impact on XRP price?

Senator Bill Hagerty has stated that the GENIUS stablecoin act will be passed next week by the senators. The act will allow for the adoption of payment stablecoins such as Ripple’s RLUSD.

If RLUSD grows to reach half of Tether’s $150 billion market cap, what would be the impact on XRP price?

Ripple’s (XRP) price trades at $2.37 today after a 1.35% decline in 24 hours. Trading volumes were also down by 37% in 24 hours, according to data from CoinMarketCap.

XRP Price If RLUSD Hits $75B Market Cap

At press time, RLUSD posted $61 million in intraday trading volumes, which is lower than Tether’s volumes of $54 billion. However, RLUSD is about to gain a competitive edge over Tether’s USDT and likely support an XRP price recovery.

US Senator Bill Hagerty noted that the US Senate will pass the GENIUS Act next week. Per the legislator, this bill will pave the way for the adoption of payment stablecoins.

Hagerty took to X, formerly Twitter, to state that the senators will vote on the bill that may boost the usage and adoption of stablecoins.

“Senators will vote next week on the GENIUS Act—a bill that would allow for the adoption of payment stablecoins.”

The White House Advisor on Digital Assets, Bo Hines, supported Hagerty’s sentiments, adding that stablecoins strengthen U.S. dollar dominance.

“Stablecoins strengthen U.S. dollar dominance, modernize our outdated payment rails, and give Americans faster, cheaper, and more transparent ways to move money.”

This act may be the catalyst for a Ripple price rally by boosting the adoption of RLUSD. If this stablecoin can reach half of Tether’s $150 billion market cap, Ripple’s price will likely surpass $3 and aim for fresh all-time highs.

This bullish XRP price forecast is supported by historical data. In December 2024, after Ripple received regulatory approval for RLUSD, XRP’s price surged by over 70% in barely a month. A 30% rally from the current price of $2.37 will push Ripple to $4.

Can RLUSD Attain Half of Tether’s Market Cap?

Getting to a $75 billion market cap may take years to achieve. However, if the GENIUS Act sees Tether lose its market share, RLUSD and other US-native stablecoins like USDC will step in and fill the gap, making more gains achievable.

In the last five months since its launch, RLUSD’s market cap has increased nearly six times alongside the XRP price. A six-fold increase from the current $331 million will push RLUSD to a nearly $2 billion market cap before the end of the year.

This growth may be accelerated by the GENIUS Act, and if RLUSD gains adoption as a means of payment across the US, its market cap may surge past $2 billion soon.

Ripple Technical Analysis as $4 Breakout Looms

RLUSD’s adoption following the GENIUS Act bill is not the only factor that supports a bull run for XRP price. The technical outlook shows that the Ripple price has broken out of the upper resistance of a falling wedge pattern on the weekly chart, confirming that bulls are about to dominate the XRP market.

However, this bullish breakout will occur if XRP can make a decisive close above the resistance line, and currently, technical indicators suggest that it is likely to occur. The RSI is tipping north and making steady highs to confirm an uptick in buying activity. Meanwhile, the AO bars have turned green again, indicating that the XRP’s bullish momentum is gaining strength.

Considering the above bullish setup, and the looming adoption of the RLUSD stablecoin after Senator Hagerty stated that the GENIUS stablecoin act will gain approval next week, the XRP price has the potential to reach $4 soon. This is achievable if RLUSD can gain high adoption and usage and possibly scoop a massive share of Tether’s USDT stablecoin.

Frequently Asked Questions (FAQs)