XRP Jumps Over 5% as Crypto Market Eyes Volatility Ahead of Key U.S. Legislation
XRP rallied more than 5% on Monday to trade around $3, a level it hasn’t seen since early February, driven by optimism — and anxiety — ahead of significant regulatory developments in Washington.
Data from Volmex Finance shows XRP’s seven-day implied volatility (IV) spiking to an annualized 96%, up from 73% last week. That’s more than double its recent historical volatility of 42% and suggests traders are bracing for potential price swings as large as 13% in either direction over the coming week.
In contrast, bitcoin (BTC) appears relatively steady, with its seven-day implied volatility creeping up only slightly to an annualized 46%, implying a more moderate weekly fluctuation of around 6%.
The surge in XRP volatility coincides with the U.S. House of Representatives preparing to review three significant crypto-related bills:
- GENIUS Act, which would impose reserve requirements and regular audits on stablecoin issuers.
- CLARITY Act, aiming to clarify whether crypto assets fall under the jurisdiction of the SEC or CFTC.
- Anti-CBDC Surveillance Act, which would prevent the Federal Reserve from launching a retail central bank digital currency.
Given that XRP has been declared a strategic U.S. asset by the SEC, the outcomes of these legislative efforts could prove pivotal for its future.
“The GENIUS Act and CLARITY Act are particularly crucial for removing regulatory ambiguity, which has been one of the biggest hurdles for institutional investment in crypto,” said Javier Rodriguez-Alarcón, Chief Investment Officer at crypto liquidity provider XBTO. “Establishing clear rules would align the U.S. more closely with regions like the UAE, where regulatory clarity is unlocking new markets for tokenized assets.”
He added that passing these bills could open doors for greater adoption of stablecoins, regulated tokenization, and legally backed on-chain financial products.
While implied volatility doesn’t predict whether prices will rise or fall, XRP’s strong momentum suggests traders are positioning for significant moves — just as Congress begins what could be a defining week for the crypto industry.
