XRP price soared 30% after it filed the response to the SEC charges, amounting to a total of 80% surge up to this day so let’s take a closer look at the price analysis in our Ripple news.
The crypto market is going through quite an interesting phase right now and that’s especially true as Ripple responded to the SEC charges. After the GameStop saga, Dogecoin’s price surge, and Elon Musk’s changing his Twitter bio, it seems that XRP finally got its time to shine. The price of Ripple’s XRP increased by about 80% in a few short hours but less than 12 hours ago, the coin was trading at $0.28. Now it reached $0.51 for an increase of about 80%. This comes on the day when Ripple responded to the US SEC charges. The watchdog initially filed a lawsuit against the company for conducting an unregistered sale of securities which implied that XRP is not a currency or a commodity but it is a security.
The price crashed since then but today it is trying to recover. As a part of the defense, the company said:
“In 2015 and again in 2020, the US Department of Justice (DOJ) and US Department of the Treasury’s Financial Crimes Enforcement Network (FinCEN) determined that XRP is lawfully used and traded in the marketplace as a virtual currency. Those determinations are consistent with the economic reality that XRP functions as a store of value, a medium of exchange, and a unit of account – not a share in Ripple’s profit.”
The current XRP price soar also led to the liquidation of more than $84 million worth of short and long positions for the cryptocurrency on almost all major exchanges in the past hour.
The US Securities and Exchange got into legal proceedings against Ripple alleging that the company sold XRP as an unregistered security. Amidst the legal concerns, multiple crypto exchanges delisted XRP but to make the matters worse, the market capitalization dropped by 63% or $16 million which was disastrous for many investors. The first signs of home came once XRP’s price rebounded by 30% one week in the new year. Over the past 24 hours, XRP reached new highs of $0.51 before dropping to a low of $0.39 in about 40 minutes. XRP jumped 40% today while still continuing the week’s growth of 50% as it entered the courtroom.
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