ChainCatcher reports that QCP Capital's latest analysis highlights a significant rally among established cryptocurrencies over the past two weeks. XRP broke its 2021 all-time high of $2, surging 400% since November to reach $2.90. Similarly, veteran projects like ADA, HBAR, and XLM recorded gains of 300%, 800%, and 600%, respectively, demonstrating the resilience of traditional crypto assets.
Key Drivers Behind the Rally
Policy Catalysts:
- Former U.S. President Trump's proposal to eliminate capital gains taxes for corporations issuing cryptocurrencies (November 2024).
Potential pro-crypto cabinet appointments, including:
- Howard Lutnick (Cantor Fitzgerald CEO) as Commerce Secretary, whose firm is in talks with Tether.
- Paul Atkins, a crypto advocate, possibly replacing SEC Chair Gary Gensler.
- Market Resilience:
Despite Bitcoin's brief dip to $93,500 due to South Korea's martial law announcement, the swift recovery underscores strong buyer sentiment.
Macro Risks vs. Bullish Momentum
- Inflation Concerns: 2025 Federal Reserve rate-cut expectations have been trimmed to three.
- Geopolitical Tensions: Trump's policies toward China, Mexico, Canada, and BRICS nations pose risks.
- Institutional Inflows: Pro-crypto policies and growing institutional participation could propel Bitcoin above $100,000 and Ethereum to new highs.
👉 Discover how institutional adoption is reshaping crypto markets
Investment Outlook
Analysts recommend capitalizing on the current bullish trend, emphasizing:
- Trump-era regulatory tailwinds.
- Long-term institutional confidence.
FAQ Section
Q: Why did XRP and other older cryptocurrencies surge recently?
A: Policy optimism (e.g., tax proposals) and renewed institutional interest drove demand for established assets.
Q: What macro risks could disrupt the rally?
A: Geopolitical tensions, aggressive Fed policies, or regulatory setbacks may cause volatility.
Q: Is now a good time to invest in Bitcoin?
A: While short-term risks exist, long-term fundamentals (adoption, scarcity) remain strong.
ChainCatcher reminds readers to assess blockchain investments rationally and be aware of risks. This content reflects market information, not financial advice.