XRP (XRP-USD) just clocked in over 5% gains, surpassing the $3 psychological mark we were all waiting for. And if the options market is to be believed, that might just be the warm-up.
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As the U.S. Congress kicks off what’s being dubbed “Crypto Week” — a legislative showdown over the future of digital assets — XRP traders aren’t taking any chances.
The token’s implied volatility (IV) has absolutely exploded to 96%, according to Volmex Finance. That’s up from just 73% last week and more than double its historical 7-day volatility of 42%. For those unfamiliar, implied volatility basically measures how much the market thinks a price could move in the near future — and this number suggests XRP could swing by as much as 13% in either direction this week.
What’s Behind the Spike?
There are three big reasons markets are volatile — and they all have to do with what’s going down in Washington:
1. The GENIUS Act
This bill could force stablecoin issuers to hold 1:1 liquid reserves, undergo independent audits, and publish monthly transparency reports. It’s essentially an institutional onboarding manual dressed as regulation.
2. The CLARITY Act
This is the big one for XRP. It aims to settle the never-ending turf war between the SEC and the CFTC over who regulates what in crypto. Given XRP’s long legal tangle with the SEC, this bill could be a game-changer. If passed, it might finally give XRP the breathing room (and bullish runway) it’s been looking for.
3. The Anti-CBDC Surveillance Act
This one is about privacy and power. It seeks to block the Fed from launching a retail central bank digital currency (CBDC) that critics say could give the government too much insight into your wallet. While not XRP-specific, it’s part of the broader legal tone shift that could favor decentralized assets.
Why It Matters for XRP Specifically
Let’s be real, Bitcoin is the king of crypto, but XRP is the legal drama queen. After years of being labeled a security by the SEC and dragged through court, XRP is now finally building momentum on the back of clearer regulatory winds.
According to Javier Rodriguez-Alarcón, CIO at crypto market-maker XBTO, these bills could “unlock tokenized markets” and bring real institutional money into the fold. Essentially this means if XRP becomes the first clear winner of this U.S. regulatory reset, expect a serious re-rating in its price — and fast.
He also compared the U.S. situation to markets like the UAE, where regulatory clarity has already allowed tokenized assets to flourish. If Congress follows that path, XRP could go from courtroom drama to capital darling.
Remember that Volatility Cuts Both Ways
Here’s the thing about implied volatility: it doesn’t care if the price goes up or down. A 13% swing could just as easily be a correction as it could be a moonshot.
Still, XRP is currently showing strong bullish momentum, up over 5% on the day to $3 — its highest price since February. That’s a strong signal, and it’s catching attention across the board, especially as Bitcoin’s own implied volatility remains sleepy in comparison (just 46%, with a 6% expected swing).
XRP is walking into the week like a boxer entering the ring. Congress is holding the bell, traders are watching every move, and the charts are telling us this could be very spicy. At the time of writing, XRP is sitting at $2.9840.
