XRP Price Rises 20% Following Ripple/SEC Decision; Is a Massive Bullish Breakout About to Happen? / Source: Cryptonews
Wednesday saw a more than 20% increase in the price of XRP (XRP) to around $0.61 following the issuance of a final ruling by the judge overseeing the Ripple Labs/SEC lawsuit.
After almost four years of litigation, Judge Torres has decided that Ripple Labs, the company that created XRP, must pay $125 million in civil penalties and refrain from breaking securities law in the future.
Judge Torres has ruled that Ripple, $XRP, must pay $125M in civil penalties and stop any further violations of securities laws, putting an end to the nearly four-year legal battle it fought with the SEC, per FOX.
— unusual_whales (@unusual_whales) August 7, 2024
The SEC had initially requested a penalty of $2B from Ripple.
That is far less than the $2 billion that the SEC asked for. The US regulatory body penalized Ripple Labs in 2020 for purportedly issuing XRP as a security.
The final ruling comes after Judge Torres ruled last summer that XRP wasn’t necessarily a security.
For the XRP market, this is huge news, which explains the 20%+ intraday move.
The worldwide cryptocurrency business of XRP and Ripple Labs has suffered recently due to regulatory uncertainty.
This should improve XRP’s chances of being adopted in the long run because it removes the possibility of the cryptocurrency being classified as a security and outlawed in the United States.
Since Monday’s lows of approximately $0.43, the price of XRP has increased by more than 40%.
Huge Bullish Breakout Incoming? Here’s How High the XRP Price Could Go
XRP is yet to break above its recent highs. Indeed, crypto markets currently face a major moment of uncertainty as the US economy tilts towards a recession, which could create an ugly atmosphere for risk assets.
If recession fears are exaggerated, a recovery may be in store.
And in light of the most recent encouraging Ripple/SEC news, the bulls in XRP might soon seize the initiative.
Bulls anticipate that the price of XRP will rise above the pennant structure it has been trapped in since 2022.
That might allow for a quick retreat back towards the highs of 2021, which are around $2.0.
For XRP investors who are now in, that could imply gains of more than three times. Thus, XRP is among the top cryptocurrencies to purchase right now.
Still, it is a very risky wager. Following the previous Judge Torres ruling, the pump was eventually sold in the summer of 2023.
History might happen again, particularly if XRP is unable to overcome resistance and US recession worries increase.
In cryptocurrency markets, investors should never take on more risk than they can afford to lose.