Despite a general collapse of the crypto market, XRP was able to hold its own with a sustained rise over one month. Experts believe that the widely publicized lawsuit between Ripple and the SEC would have benefited the altcoin.
XRP on the rise: an exceptional rally
The global crypto market has lost more than two-thirds of its value since November 2021. Most of the losses were recorded after March 2022, following the collapse of one of the stablecoins: TerraUSD (UST). Terra’s tribulations have had a ripple effect on the crypto markets. Could the current bear market be written into the record books?
Be that as it may, some assets are experiencing a thinning. Proof of this is this rally in the middle of the bear market on the side of Ripple. The native token of the network, XRP, has indeed recorded a rise of 57.75% in one month. The coin traded at $0.33 on September 8. On October 8, its value reached $0.52. The coin will likely rise as Ripple gains positive media exposure and feedback from the current court case against the DRY.
The lawsuit opposing Ripple to the SEC, a catalyst?
There is no end to the Ripple vs SEC soap opera and many see this lawsuit as a bullish catalyst for XRP. In December 2020, the regulator filed a lawsuit against the company, alleging that Ripple is engaging in illegal securities offering. The SEC alleges that Brad Garlinghouse (the CEO of Ripple) and co-founder Chris Larsen each personally sold XRP for hundreds of millions of dollars.
A Ripple win may cause the SEC to back down from its aggressive actions against exchanges. XRP will take off again, along with all legitimate crypto platforms. If the SEC wins, it could open the floodgates for further crypto regulations in the United States. Entrepreneurs, investors and experts are convinced that XRP plays a role in the digital asset space. The verdict will determine the future of many cryptocurrencies. For now, XRP is fueled by optimism of a possible victory for Ripple.
Ripple’s case against the SEC gives importance to thealtcoin XRP, partly explaining this remarkable rally. But the strong activity of whale wallets also has something to do with this rise in the value of XRP.
Receive a digest of news in the world of cryptocurrencies by subscribing to our new service of daily and weekly so you don’t miss any of the essential Tremplin.io!
