XRP Reclaims 3rd Crypto Spot

CRYPTO
XRP Reclaims 3rd Crypto Spot

XRP has made a triumphant return as the third-largest cryptocurrency by market capitalization, sparking excitement across the crypto community. This comeback follows years of challenges stemming from the U.S. Securities and Exchange Commission's (SEC) lawsuit against Ripple, alleging unregistered securities offerings in 2020. During that time, XRP dropped from the top three cryptocurrencies, with its value plummeting from $0.50 to $0.17, erasing over $15 billion in market value.

Fast forward to 2024, Ripple has achieved significant legal victories, and XRP’s resurgence has been fueled by a combination of these wins and the market rally spurred by Donald Trump’s return to the U.S. presidency. XRP’s price surged to $2.35, reflecting a 341% increase since November 1, 2024. The token now sits behind Bitcoin (BTC) and Ether (ETH) in market cap, outpacing Solana (SOL), Binance Coin (BNB), and stablecoins like Tether (USDT).

XRP’s resurgence is not limited to market cap; it’s dominating Google Trends, with “XRP” searches surpassing “crypto” searches in November, signaling renewed public interest. However, it remains far from flipping Ether, which still leads XRP by 219%. Analysts speculate that XRP would need to hit $7.75 to challenge ETH's position. For now, XRP’s growth trajectory highlights its resilience and renewed relevance in the crypto world.

FINANCE
Fidelity Bets Big on Musk

Fidelity has reportedly increased the valuations of its stakes in Elon Musk's social media platform, X (formerly Twitter), and his artificial intelligence startup, xAI. This adjustment reflects growing confidence in Musk's ventures as they continue to shape industries with innovative approaches.

Fidelity, a major player in the investment space, has previously demonstrated support for Musk-led companies like Tesla and SpaceX, and this move signals its positive outlook on Musk’s ability to disrupt new markets.

The valuation boost for X comes amid Musk’s efforts to transition the platform into an “everything app,” incorporating features like payments and extended services. Meanwhile, xAI, which aims to compete with OpenAI and Google in the AI space, has gained attention for its ambitious goals in generative AI technology. Fidelity’s actions highlight investor optimism about these ventures, despite challenges, as Musk continues to push boundaries in technology and business.

TARIFFS
Trump Threatens Tariffs on BRICS

President-elect Donald Trump has issued a strong warning to the BRICS nations—Brazil, Russia, India, China, and South Africa—along with other members like Egypt, Iran, and the UAE, threatening 100% tariffs if they pursue de-dollarization efforts. Trump's statement on Truth Social demanded that these countries halt any plans to create a new BRICS currency or support alternatives to the U.S. dollar, which he emphasized as vital to global trade.

The dollar, currently accounting for 58% of global foreign exchange reserves, faces challenges as BRICS nations grow in economic influence and advocate for non-dollar trade systems. Russian President Vladimir Putin previously criticized the U.S. for "weaponizing" the dollar and proposed alternatives like a new payment system to bypass sanctions.

Despite Trump's aggressive rhetoric, research, including an Atlantic Council model, suggests the dollar remains secure as the dominant global reserve currency in the near to medium term.

Word of the day
Scintilla 

A scintilla is a very small amount of something. Scintilla is usually used in negative statements, as in “not even/nary a scintilla.”

DISCLAIMER: None of this is financial advice. This newsletter is strictly educational and is not investment advice or a solicitation to buy or sell any assets or to make any financial decisions. Please be careful and do your own research.