The surge in XRP price highlights the impact of legal outcomes on the crypto market.
XRP, the digital currency affiliated with Ripple Labs Inc has become the fourth-largest cryptocurrency by market capitalization. This remarkable feat comes on the heels of Ripple’s recent victory over the United States Securities and Exchange Commission (SEC).
The court declared that the sale and offer of XRP on exchange platforms did not constitute the sale of investment contracts. This legal victory sent shockwaves through the crypto market, resulting in a rapid accumulation and an eventual surge in the price of XRP.
According to data from TradingView, XRP’s price spiked by as much as 98% in the hours following the decision, reaching a high of $0.93. Accordingly, XRP experienced an extraordinary surge in market capitalization within hours of the recent ruling.
The cryptocurrency’s market cap skyrocketed by a staggering $21.2 billion, propelling it to a new yearly high of $46.1 billion. XRP’s market capitalization has settled down at $41.5 billion as of the time of writing. This surge in market value propelled XRP from its previous 7th position to surpass Circle’s USD Coin (USDC) and Binance’s BNB token in the rankings.
The surge in XRP’s price highlights the impact of legal outcomes on the crypto market. Ultimately, regulatory clarity is paramount to investors, as it eliminates the ambiguity surrounding a digital asset’s status and potential future restrictions.
The court’s ruling served as a catalyst for renewed investor confidence in XRP, leading to a surge in buying pressure and a subsequent price appreciation. However, it is worth noting that the battle between Ripple and the SEC is yet to be concluded. The ultimate outcome of the lawsuit will have far-reaching implications for XRP and its regulatory status.
XRP Victory: Impact on the Crypto Space
The recent court ruling in favor of XRP in the legal battle between Ripple and the SEC has had a significant impact on the crypto ecosystem.
There have been indications of an unexpected rise in activity on several crypto exchanges following the court ruling. One such exchange affected by the sudden spike was Uphold, a US-based crypto exchange. The unprecedented volume of trading activity led to technical difficulties and temporarily caused Uphold’s platform to go down.
The recent ruling in favor of Ripple has also had a notable impact on the re-listing of XRP on several prominent US crypto exchanges. For instance, Coinbase Global Inc (NASDAQ: COIN), one of the largest crypto exchanges, announced the re-listing of XRP shortly after the court’s decision.
Similarly, Kraken, another prominent crypto platform, and iTrustCapital have also followed suit. The re-listing of XRP by these major exchanges signifies growing confidence in XRP’s regulatory status following the court’s ruling. It also indicates a willingness to provide their users with access to a broader range of digital assets, including XRP.