XRP has gained ground in recent days, along with the rest of the cryptocurrency market, as investors hunt for signs of a bottom. The asset is also striving to reverse three weeks of consistently negative price activity.
XRP, Ripple’s native cryptocurrency, was trading at $0.35 as of press time, up over 10% in the previous seven days. During this time, the XRP price reached a high of $0.36 on September 10. The primary question throughout the rally is whether the asset can maintain its gains.
Simultaneously, the increase in XRP’s value has resulted from consistent buying pressure over the last seven days. Notably, the token has a market cap of $17.73 billion as of September 11, an increase of 8.5% from the $16.34 billion recorded on September 4.
The technicals of Ripple hint at the bottom.
Overall, XRP is exhibiting signs of strength, with TradingView gauges indicating a probable bottom based on moving averages and summary. In this situation, the summary indicates neutrality, while the moving average indicates that the token should be purchased.
Currently, the price of XRP is showing bullish sentiments, which corresponds to a CoinMarketCap crypto community estimate. The community anticipates that XRP will trade at an average value of $0.49 by the end of September, marking a 40% increase over the current pricing.
Aside from the general price fluctuation in the cryptocurrency market, the prospects of XRP have been heavily influenced by the ongoing dispute between Ripple and the Securities and Exchange Commission (SEC). Analysts say the issue has been dragging on for a long time.
The SEC has reached a decision on Ripple’s case.
The SEC accuses Ripple and its management of raising approximately $1.3 billion through an unregistered securities offering in the complaint. After nearly two years, US-based legal counsel and XRP proponent Jeremy Hogan believe a resolution is imminent, noting that both sides have laid out their case.
Hogan claimed in a tweet on September 5 that the settlement would most likely take place by November of this year.
If the litigation is concluded in Ripple’s favor, the price of XRP will most certainly rise. At the same time, if the court finds that XRP is a security, the price may be impacted, maybe negatively. However, the judgment has the potential to reduce regulatory ambiguity, particularly in the classification of crypto assets as securities.
It is also worth noting that, despite Ripple’s legal problems, the pace of new accounts created on the XRP Ledger appears to be slowing. This has emerged despite Ripple’s continued efforts to market the XRP Ledger to various players across the world.
Regardless of whether the litigation results in positive or negative implications for Ripple, the value of XRP is bound to benefit from the company’s continuous partnerships to facilitate cross-border payments.
The company continues to form alliances, the most recent being with Travelex Bank, which has launched its cryptocurrency on-demand liquidity (ODL) service in Brazil.