Ripple (XRP) price has been on a decline since last April. The sales and falling sentiment across the cryptocurrency market are the main reasons for this decline.
However, over the past few weeks, the Ripple price has been quite volatile. Investors managed to get XRP, which was dealing with major problems, from the range of $ 0.20 to $ 0.30. Despite the lack of momentum to raise XRP above $0.60, a large investor base has formed.
According to the on-chain data, the number of users interacting with the XRP token and the network presented an optimistic picture. The continuous increase in Ripple trading volume represents the desire of retail investors to make a profit. The increase in volume is likely to have triggered consumer-induced volatility for the XRP price.
According to Santiment, Ripple (XRP) network increased by almost 200% with higher trading volumes. Since November 30, the number of XRP active addresses has been rising. The number had risen from 51,161 on 4 December to 161,000 at the time of writing.
Ripple (XRP) and SEC Litigation
Ripple CEO Brad Garlinghouse expressed his belief that a positive result will be achieved in the near future. As the lawsuit against the US Securities and Exchange Commission draws to a close, Ripple supporter attorney John Deaton shared what he believes is the biggest threat to Ripple in the ongoing lawsuit.
As a result, the XRP token itself is not a security, according to Judge Torres, who may at some point decide that the Ripple company “offered” unregistered securities. Therefore, the token’s ‘secondary market sales also cannot be an unregistered security’ offer.
According to Judge Torres, who may at some point decide that Ripple “offered” unregistered securities, the XRP token itself is not a security, and the secondary market sales of the token are not an unregistered security offering.
👇 is the biggest danger to @Ripple IMO. Application of the law doesn’t focus only on sales. In fact, a sale or transfer of the underlying asset doesn’t have to occur for a company to be liable. If there’s oral argument, I bet you hear the SEC lawyer focus a lot on the “offering” https://t.co/7gFoopXF7g
— John E Deaton (@JohnEDeaton1) December 5, 2022
According to the lawyer, this is “one of the biggest dangers for Ripple. The law doesn’t just focus on sales. The company does not need to have a sale or transfer of the underlying asset to be liable. Indeed, if there is a verbal discussion, the SEC attorney will focus more on the ‘supply’ issue.”
You can follow the current price action here.
Disclaimer: What is written here is not investment advice. Cryptocurrency investments are high-risk investments. Every investment decision is under the individual’s own responsibility. Finally, Koinfinans and the author of this content cannot be held responsible for personal investment decisions.