Price Increase: XRP experienced a notable increase in value, trading at $0.5666 by 16:16 (20:16 GMT) on the Investing.com Index on Wednesday, marking a 10.61% gain, the largest one-day percentage increase since August 7. This surge pushed XRP’s market cap to $29.5791B, representing 1.53% of the total cryptocurrency market cap. Historically, XRP’s market cap peaked at $83.4407B.
Trading Range: In the past twenty-four hours, XRP traded within a range of $0.4930 to $0.5666. Despite the recent uptick, XRP has seen a 16.6% decline over the past seven days, trading between $0.4327 and $0.6300 during that period. Currently, XRP remains 82.78% below its all-time high of $3.29 set on January 4, 2018.
Other Cryptocurrencies: In other cryptocurrency trading, Bitcoin was last at $54,923.2 on the Investing.com Index, down 2.84% for the day, while Ethereum traded at $2,345.35, reflecting a 5.99% loss. Bitcoin’s market cap stood at $1,081.5659B, accounting for 56.01% of the total cryptocurrency market cap, and Ethereum’s market cap was $283.0891B, or 14.66% of the total market value.
Legal Developments: XRP’s price saw a dramatic 26% surge as a New York federal judge moved closer to ending a three-year securities lawsuit against Ripple Labs, which its executives hailed as a “victory” for the industry. On August 7, a federal judge ordered Ripple Labs to pay a $125 million civil penalty and permanently restrained the firm from violating U.S. securities laws in a case brought by the Securities and Exchange Commission (SEC)12.
Impact of Ruling: This ruling appears to put Ripple’s case with the SEC in its final stages, as the lawsuit was initially filed in December 2020. Following the news, XRP rallied 26% to $0.63, recouping most of its losses from the broader crypto downturn since August 5, according to CoinMarketCap data. As of publication, XRP is trading at $0.5912.
Statements from Ripple Executives: Ripple Labs CEO Brad Garlinghouse proclaimed this a victory for Ripple, the industry, and the rule of law, stating that the SEC’s challenges against the XRP community were over. Ripple Labs co-founder Chris Larsen echoed this sentiment, hoping it marked the end of the Administration’s “war on crypto”12.
Market Reactions: Other crypto commentators highlighted XRP’s price movement post-decision. Crypto lawyer Fred Rispoli noted the significant financial impact of the price move, despite the $125M penalty. Crypto researcher Ripple Van Winkle emphasized the end of price suppression and anticipated further price increases for XRP12.
Impact on Traders: The price surge led to a significant impact on future traders, particularly affecting short positions. CoinGlass data showed that $5.4 million worth of short positions were liquidated following the price increase, with the potential for another $20 million in short positions to be liquidated if the price hits $0.6512.
Conclusion: XRP’s recent price movements, fueled by legal developments and market dynamics, underscore the volatility and rapid changes in the cryptocurrency market. While Ripple’s legal victory has provided a boost, the overall market remains sensitive to broader economic and regulatory factors. Investors should stay informed and cautious as the landscape continues to evolve.
source: investing.com, cointelegraph.com
