Cryptocurrency analyst Zach Rector says the next XRP bull run is not a question of whether it will happen, but when—and early signs are already emerging.
The stock market's market capitalization increased by $10 trillion in just 39 days. The Nasdaq index historically surpassed the 29,000-point mark, and the S&P 500 also reached a new all-time high of 7,400 points. According to Rector, this expansion of liquidity has historically flowed first into the cryptocurrency sector, and this rotation has already begun.
He said, "Let them stimulate the stock market so they can shift funds into digital assets and channel money into the stock market."
Two coins have already proven this.
The principal noted that the recent commissioning of two pumps proves that the rotation has begun:
- After announcing its acquisition by AI Holdings and its listing on Nasdaq on May 14 (ticker: AIS), Constellation DAG's stock price surged by 200%.
- After Ripple, JPMorgan, and Mastercard completed a landmark cross-border tokenized government bond settlement on the XRP Ledger, the price of XRP rose over 137% from its February low.
Although XRP serves as the underlying infrastructure for Ondo-related news, its price has not been affected. Rector calls this “incredible suppression,” but cautions not to be misled. XRP outperformed Ondo in the previous cycle, and he expects it to do so again in this cycle.
The CLARITY Act is a catalyst.
The Senate Banking Committee has officially scheduled a hearing on the CLARITY Act for 10:30 a.m. Eastern Time on May 14. Rector stated that this is the final opportunity to pass the bill before midterm election campaigns dominate the political agenda.
If it passes committee review, is approved by the full Senate, aligns with the House version, and reaches Trump’s desk by July 4, it will remove the largest regulatory barrier facing XRP and the broader cryptocurrency market.
Retail has disappeared.
Rector noted that Coinbase's XRP trading volume declined by 18% year-over-year, indicating that retail investors have largely exited the market. He believes this is precisely when market movements occur.
He said, "First, scare off the retailers, then slice the product horizontally to make them bored, and finally ship it."
Ninety percent of his portfolio is XRP. He has already entered his position, and in his view, the bull market won’t wait until everyone feels comfortable to begin.