Cryptocurrency XRP (XRP +1.22%) may be down, but it's not out. Yes, it may be down more than 60% from its summer 2025 highs. But it has repeatedly shown explosive upside potential, especially around favorable political and regulatory developments in Washington, D.C.
That's why the upcoming 2026 midterm elections could be the perfect catalyst to send XRP soaring. Here's one scenario for how it might happen.
A bullish scenario for XRP
Right now, the crypto industry has poured close to $200 million into the midterm elections, with much of that money flowing to candidates who are pro-crypto and favorably aligned with new legislation and rulemaking for the crypto industry. That leads me to think that XRP could be among the biggest beneficiaries of the midterm elections -- provided the right candidates win, of course.
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Based solely on the amount of money that has flowed into their campaign coffers from the crypto industry, the two most important candidates to watch are Barry Moore (R-Alabama), an Alabama Republican running for Senate, and Andy Barr (R-Kentucky), a Kentucky Republican running for Senate. Combined, these two candidates have received $16.5 million from the crypto industry.
The good news is that, according to online prediction markets, both Moore and Barr are overwhelmingly favored to win. That should be music to the ears of XRP investors. After all, Ripple (the company behind the XRP token) is one of the fintech companies with the most at stake from the passage of new crypto legislation, such as the Digital Asset Market Clarity Act, as well as new crypto rulemaking around stablecoins.
CRYPTO: XRP
Key Data Points
So, in this scenario, key pro-crypto political candidates win their races, the pro-crypto agenda in Washington continues unabated, and XRP goes absolutely bonkers as a result. Remember: XRP was trading as high as $3.65 in summer 2025, so doubling in value from a current price of $1.40 to a price of $2.80 is certainly within the realm of possible outcomes.
Historical precedent for XRP
Not convinced it could happen? Just look at November 2024, around the time of the U.S. presidential election. XRP was trading for a paltry $0.50.
But then Donald Trump won the election. Soon after, there was an outbreak of crypto euphoria, as President Trump promised to deregulate the crypto industry and do everything in his power to make America the "crypto capital of the world."
Within weeks, XRP skyrocketed in price. By January 2025, it was trading for $3.40. That's a stunning 580% increase in price within just weeks and the ultimate proof of XRP's explosive upside potential. In July 2023, XRP also nearly doubled in value after a very favorable court ruling in an SEC case against Ripple.
Can XRP do it again? Perhaps. Online prediction markets currently give XRP a 15% chance of hitting $3 by the end of this year. Those aren't great odds, to be clear. But if there's one cryptocurrency that's capable of doubling in price after the midterm elections, it's XRP.
