XRP Price Fluctuation: Post-Lawsuit Settlement Scenario
XRP, the native cryptocurrency by Ripple, experienced its most significant daily gain in over two weeks last Friday, registering a nearly 3% increase. This uptick came as a rebound from sharp drops, which were initially sparked by news that Ripple co-founder Chris Larsen’s wallet had been compromised.
The incident had caused concern among investors, leading to a temporary decline in XRP’s value.
Furthermore, XRP experienced a rollercoaster ride after the Securities and Exchange Commission (SEC) lawsuit ruling. However, with the recent settlement between Ripple and the XRP holders, investors are left pondering what the future holds for their investments.
SEC’s XRP Ruling
In 2020, the SEC alleged that XRP had not registered its securities, threatening losses for token holders. Ripple’s CEO fought the charges, and after a three-year legal battle, Ripple seems poised to win, potentially boosting XRP’s value to $1.
A victory could lead to mass adoption of its payment system and make XRP fully legal and regulated, enhancing its trustworthiness among cryptocurrencies.
What to Expect?
In the immediate term, the price of XRP could rebound as investors breathe a sigh of relief following the settlement. However, it is also possible that the price may continue to decline due to profit-taking or bearish sentiment.
Analysts suggest keeping an eye on Bitcoin’s performance for potential indications of XRP’s future trend.
In the mid-term, Ripple’s partnerships and collaborations could provide a boost to XRP’s price if they materialize. Additionally, positive regulatory developments could also contribute to the coin’s recovery. However, lingering legal uncertainty and potential crackdowns on crypto exchanges could negatively impact XRP.
In the long term, XRP still holds significant growth potential as a leading cross-border payment solution. However, clear regulatory guidance and stability are essential for the coin to reach its full potential.
It is crucial for investors to approach XRP price predictions with caution, considering the uncertain regulatory environment and market volatility.
Angel Marinov is the Managing Editor at Coinlabz. With extensive knowledge of crypto payments and blockchain use cases, Angel is a trusted source of accurate and timely information
