Recently, there’s been a notable shift in the world of cryptocurrencies, with Ripple’s XRP being overtaken by Solana (SOL) as the fifth largest digital asset by market capitalization. This has sparked a resurgence among XRP’s bulls, who are vigorously defending its position. The latest market figures show a remarkable increase in XRP trading volume, with a 23 percent jump in the past 24 hours to approximately $1.3 billion.
How Legal Developments Impact XRP
In December, a ruling by Judge Jed Rakoff in the Southern District of New York caused a stir in the crypto community. Rakoff ruled in favor of the US Securities and Exchange Commission (SEC), stating that Terraform Labs and its co-founder, Do Kwon, offered unregistered securities through the LUNA and UST digital tokens. This decision has resonated among XRP supporters, who are eagerly awaiting a final trial scheduled for April this year.
Nevertheless, Ripple’s Chief Legal Officer, Stuart Alderoty, reassured the XRP community. He pointed out that Judge Rakoff did not criticize or reference Judge Analisa Torres’s ruling in Ripple’s favor. This suggests that Ripple may continue to operate without the constraints of the US SEC, which has been a significant factor in bolstering investor confidence.
Whale Activity Fuels XRP Trading Volume
Over the past few months, there’s been a flurry of activity on the XRPL, driven largely by its major holders. Given that XRP sales on crypto exchanges do not constitute investment contracts, Ripple has been ramping up its deposits on associated exchanges like Bitstamp. In the last 24 hours alone, over 50 million XRP, valued at more than $31 million, has been deposited into Bitstamp. This influx of capital is likely contributing to the uptick in XRP trading volume.
XRP’s Price Outlook
From a broader perspective, XRP’s price is nearing the peak of the triangle consolidation that started following the 2021 bull run. The altcoin is also trying to break free from a daily triangle consolidation, which could indicate a potential bullish trend on the horizon. A successful breakout could see the XRP price reaching the next psychological resistance level of around 94 cents.
Keeping track of these market movements can be a daunting task. Fortunately, platforms like cryptoview.io provide a comprehensive view of the market, making it easier for investors to stay informed and make data-driven decisions.
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