XRP, the native token of the Ripple network, fell short of meeting investor expectations following a court ruling in its favor. John Deaton, a lawyer advocating for XRP, expressed his perspective on this development via X (formerly Twitter).
Deaton responded to a tweet from Moon Lambo, a user who defended the performance of XRP this year. According to Moon Lambo, XRP has shown a positive trend with an 85% increase in 2023. Deaton concurred but noted that certain investors felt disappointed due to their higher expectations.
Judge Analisa Torres made a court decision that Deaton referred to several weeks ago. In this ruling, the judge declared that XRP is not considered a security in specific cases, representing a significant triumph for Ripple and its token. As a result of this favorable judgment, the price of XRP skyrocketed by over 70%, reaching an impressive $0.84.
Deaton’s expectation of XRP breaking the $1 resistance level after the ruling did not materialize. He also doubted that XRP would reach its all-time high of $3.84, achieved six years ago.
Deaton maintains hope for XRP to reach $1 in the future. However, he acknowledges that its achievement hinges on Bitcoin’s price, which currently stands at $29,038. Although Deaton is not a market analyst, he believes that XRP requires Bitcoin to retest its all-time high to garner significant momentum.
Why XRP Price Matters
Ripple utilizes XRP, one of the market’s oldest and most popular cryptocurrencies. This renowned company offers cross-border payment solutions for businesses and institutions. XRP stands out for its exceptional qualities – speed, affordability, and eco-friendliness.
XRP has encountered significant challenges recently, particularly from the U.S. Securities and Exchange Commission (SEC). In 2020, Ripple was sued by the SEC for allegedly selling XRP without proper registration as a security. Consequently, numerous exchanges and platforms removed or temporarily halted XRP trading.
The ongoing court case surrounding Ripple and XRP has seen some favorable developments. One noteworthy instance is Judge Torres granting a motion by Deaton to intervene in behalf of over 19,000 XRP holders. Deaton contended that the SEC does not adequately represent the interests of these XRP holders, thus asserting their suitable to participate in the case.
The court ruling mentioned by Deaton brought positive news for XRP. It clarified that under certain circumstances, such as when used as a medium of exchange or a store of value, XRP is not considered a security. This clarification paves the way for more potential use cases and broader adoption of XRP in the future.
The price of XRP holds significance for several investors as they harbor faith in its potential and functionality. However is subject to various influencing factors such as market sentiment, regulation, innovation, and competition. Consequently, accurately predicting or anticipating the behavior of XRP’s price in the short or long term proves challenging.
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“The author’s views are for reference only and shall not constitute any investment advice. Please ensure you fully understand and assess the products and associated risks before purchasing.”
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