What is next for XRP price as Hoskinson supports Ripple RLUSD?

Ripple price remains near its highest level this year ahead of the highly anticipated RLUSD stablecoin launch.

Ripple’s (XRP) coin was trading at $2.55 on Wednesday morning, within striking distance of its year-to-date high of $2,900.

Cardano (ADA) founder Charles Hoskinson said in an X post that he is “excited about RLUSD.” He tweeted this in response to a CT article revealing more details about the stablecoin, which will be launched on December 4th.

His post could be a sign that Cardano may agree to the launch of its RLUSD stablecoin on its blockchain. This would be important as Cardano currently only has $24 million worth of stablecoins on its network. Future expansion of RLUSD into the Cardano ecosystem will help grow stablecoin volume.

Backed 1:1 by the US dollar, RLUSD aims to compete with other growing stablecoins such as Tether and USD Coin. Tether maintains its leading market share with 70% dominance. This is followed by USD Coin, USDS, Ethena USDe and Dai. It will initially launch on Ethereum and XRP Ledger.

The main challenge for the RLUSD stablecoin is significant competition. PayPal’s PYUSD, for example, has only accumulated $495 million in assets despite the big name behind it.

The RLUSD launch comes at a time when the XRP price is making a strong comeback, rising over 400% from its lowest point this year.

XRP also jumped as investors applauded the upcoming changes at the Securities and Exchange Commission. Gary Gensler, who has been fighting with Ripple Labs for the last four years, is expected to leave his position in January.

Meanwhile, Donald Trump is considering crypto-friendly regulator Paul Atkins as the agency’s next chairman. Such a move could lead to a spot XRP ETF and more favorable regulations in 2025.

XRP price analysis XRP price chart | Source: crypto.news

The daily chart shows that Ripple price has performed well in recent weeks. It jumped above the key $1 and $2 levels and is now trying to climb above $3.

While XRP price remains above all moving averages, oscillators such as the Relative Strength Index and MACD have moved towards overbought levels.

Ripple is also forming a bullish pennant chart pattern, which is a popular bullish sign. Therefore, there is a possibility that the XRP token could potentially continue to rise above $3.

However, the risk is that the coin may experience a brief pullback as it moves into the price reduction phase of the Wyckoff Method. In such a case, it could drop to around $1.50.