In a remarkable turn of events, the native token of the XRP Ledger, $XRP, has emerged as a dominant force in the cryptocurrency market. With an explosive price surge of over 60% in just one week, XRP now commands a staggering 21% of the market’s trading volume, surpassing even Bitcoin.
This surge in XRP’s trading volume can be attributed to a significant legal victory for Ripple, a major player in the XRP ecosystem, in its battle against the U.S. Securities and Exchange Commission (SEC). Recently, a federal judge in New York ruled that the XRP token “is not necessarily a security on its face,” propelling XRP’s trading volume to new heights.
Prior to this ruling, Bitcoin held the crown for the most liquid asset in the digital currency space, with a trading volume accounting for 20% of the market. However, XRP’s ascension has now pushed Bitcoin into second place. Ethereum, another prominent cryptocurrency, stands at 8% trading volume, highlighting XRP’s significant lead in this regard.
The legal saga between Ripple and the SEC began in 2020 when the commission filed a lawsuit, alleging that Ripple violated U.S. securities laws by selling XRP without proper registration. Judge Analisa Torres, in her recent ruling, declared that while XRP may have been considered a security when sold to institutional investors in the past, it did not hold the same status when sold to the public through crypto exchanges.
Ripple’s Chief Legal Officer, Stuart Alderoty, expressed his enthusiasm on social media, hailing the decision as a “huge win.” The distinction between sales on exchanges and securities has played a crucial role in this outcome.
Following the favorable ruling, numerous analysts have turned bullish on XRP. One prominent crypto analyst has even predicted a potential price explosion to $6, highlighting the optimism surrounding the cryptocurrency.
However, another analyst, Michaël van de Poppe, has a slightly different perspective. While he envisions a possible downward adjustment to around $0.65, he sees this dip as an opportunity for a bullish resurgence. Van de Poppe’s analysis suggests that XRP could potentially reach a high of $0.90 in the post-dip rally.
The legal victory and the subsequent surge in XRP’s trading volume have firmly established the token as a major contender in the cryptocurrency market. As XRP continues to gain momentum and attract investor interest, its future prospects appear promising. The road ahead may hold exciting opportunities for XRP and its enthusiastic community of supporters.
