XRP Soars, Overtakes Bitcoin in Trading Volume after Legal Win

  • XRP experiences a significant price surge of over 60% in a week, resulting in it commanding 21% of the global cryptocurrency market's trading volume, overtaking Bitcoin. This shift is largely due to a key legal victory for Ripple in its ongoing dispute with the U.S. Securities and Exchange Commission (SEC).
  • Following the favorable legal ruling, many analysts have adopted a bullish stance on XRP. While some predict a potential price surge to ZAR 107.28 ($6), others see a potential dip as an opportunity for a bullish recovery, with a possible high of ZAR 16.09 ($0.90) in the post-dip rally.
  • This legal victory and the subsequent surge in XRP’s trading volume have solidified its position as a key player in the cryptocurrency market. The shift in global market dynamics offers an opportunity for South African investors and crypto enthusiasts to diversify their portfolios and explore alternative investment avenues.
XRP

The native token of the XRP Ledger, known as $XRP, has carved a prominent niche in the cryptocurrency market. With a substantial price rise of over 60% within a single week, XRP now accounts for a remarkable 21% of the market’s trading volume globally, surpassing even Bitcoin. This development has notable implications for South Africa’s growing cryptocurrency sector, where Bitcoin has traditionally held the lead.

The surge in XRP’s trading volume is largely attributed to a significant legal victory for Ripple, a key entity within the XRP ecosystem, in its ongoing legal conflict with the U.S. Securities and Exchange Commission (SEC). In a recent turn of events, a federal judge in New York ruled that the XRP token “is not necessarily a security on its face,” a judgement that has propelled XRP’s trading volume to new heights.

Prior to this ruling, Bitcoin was the most liquid asset in the digital currency market, with its trading volume making up 20% of the market. However, XRP’s rise has now shifted Bitcoin into second place. Ethereum, another leading cryptocurrency, stands at 8% trading volume, further underlining XRP’s lead in this aspect.

The legal quarrel between Ripple and the SEC began in 2020 when the commission instigated a lawsuit, alleging that Ripple violated U.S. securities laws by selling XRP without the correct registration. Judge Analisa Torres, in her latest ruling, stated that while XRP might have been deemed a security when sold to institutional investors in the past, it did not hold the same status when sold to the general public via crypto exchanges.

Ripple’s Chief Legal Officer, Stuart Alderoty, took to social media to express his jubilation, heralding the verdict as a “huge win.” The distinction between exchange sales and securities has played a pivotal role in this outcome.

In the wake of the favorable legal ruling, numerous analysts have turned bullish on XRP. One well-known crypto analyst has even predicted a potential price surge to ZAR 107.28 ($6), underlining the pervasive optimism surrounding the cryptocurrency.

Yet, another analyst, Michaël van de Poppe, offers a slightly divergent viewpoint. While he predicts a possible dip to around ZAR 11.62 ($0.65), he sees this dip as a potential springboard for a bullish recovery. Van de Poppe’s analysis suggests that XRP could potentially hit a high of ZAR 16.09 ($0.90) in the post-dip rally.

The legal victory and the resulting surge in XRP’s trading volume have solidified the token’s position as a major player in the cryptocurrency market. As XRP continues to gain momentum and draw increased investor interest, its future prospects appear promising. For South African investors and crypto enthusiasts, this shift in global market dynamics presents an opportunity to diversify their portfolios and explore alternative investment options.

Visited 1 times, 1 visit(s) today

Stay ahead in the financial world – Sign Up to Rateweb’s essential newsletter for free. Get the latest insights on business trends, tech innovations, and market movements, directly to your inbox. Join our community of savvy readers and never miss an update that could impact your financial decisions.

Do you have a news tip for Rateweb reporters? Please email us at

Related

Personal Financial Tools

Below is a list of tools built to assist South Africans to make the best financial decisions:

Latest

Rateweb

South Africa’s primary source of financial tools and information

Contact Us

admin@rateweb.co.za

Disclaimer

Rateweb strives to keep its information accurate and up to date. This information may be different than what you see when you visit a financial institution, service provider or specific product’s site. All financial products, shopping products and services are presented without warranty. When evaluating offers, please review the financial institution’s Terms and Conditions.

Rateweb is not a financial service provider and should in no way be seen as one. In compiling the articles for our website due caution was exercised in an attempt to gather information from reliable and accurate sources. The articles are of a general nature and do not purport to offer specialised and or personalised financial or investment advice. Neither the author, nor the publisher, will accept any responsibility for losses, omissions, errors, fortunes or misfortunes that may be suffered by any person that acts or refrains from acting as a result of these articles.