XRP’s price surged by over 800% to trade at $1.98 in April 2021.
If SEC turns out to be wrong in the cases then it can surely create distrust among the people for the government authorities.
The Ripple (XRP) price prediction analyses the token’s market position and the expected price outlook for 2022. XRP, which serves as the native token of Ripple, has attracted attention in the crypto space over the potential uses as the company continues to expand its payment settlement, asset exchange, and remittance systems.
Although XRP value has tended to move in line with the general crypto market, investors are looking at other external factors like the SEC lawsuit against Ripple that will likely impact the token’s price. However, the focus is on whether XRP will surpass the crucial $1 mark, which would likely support the further price gains for the asset.
Ripple (XRP) latest market statistics
With a market capitalization of $39.8 billion, XRP ranks as the sixth-largest cryptocurrency. From the start of 2022, XRP has been impacted by the general market volatility with the asset hitting a yearly low of $0.56 on January 24, 2022. However, the token has made gains to record a year-to-date correction of about 1% by mid-February.
Ripple vs. SEC
Following recent developments, there is a general anticipation Ripple might win the case against SEC.
Apparently, recent price movements show that the token has put aside the implication of the SEC lawsuit.
On February 13, XRP tested a high of $0.916, surpassing the 50-week exponential moving average of around $0.833. The upside move, although not guaranteed, has ushered in the possibility of an extended bullish momentum.
Notably, this can be attributed to the asset’s historical price movement around the mark. For the token to test the crucial $1, it needs to sustain its gains above the 50-week EMA.
Compared to previous trading movements, XRP attained the 50-week EMA as support towards the end of July 2020. After this position, XRP’s price surged by over 800% to trade at $1.98 in April 2021.
How the legal battle between the SEC and Ripple stands
The last few weeks have seen the court case between Ripple and the SEC gain some momentum. Several key rulings have been made on motions that both parties have filed. The most recent motion ruled on was one that denied Ripple’s motion to seal certain documents from the public. The court ruled that the document, which contains communications by Ripple executives to third parties, be released to the public. Previously, the court ruled that the SEC had to relinquish documents it listed to not disclose due to Deliberative Process Privilege (DPP).
Ripple has notably shown resilience in the face of regulatory pressure. Late last month, the fintech company announced a shares buyback from a Series C funding round from 2019 that went sour. With the $200 million buyback, the valuation of Ripple has shot up to $15 billion.