Why XRP Price Won’t Skyrocket After Ripple-SEC Ruling: Crypto Pundit

by

As a seasoned analyst with over two decades of experience in the financial markets and a keen interest in digital currencies, I find myself leaning towards Rachelle Renee’s perspective on the potential impact of the Ripple-SEC ruling on XRP price.

With the XRP lawsuit between Ripple Labs and the US Securities and Exchange Commission (SEC) moving towards a decision on remedies in the district court, there’s been a lot of discussion within the crypto community about what this might mean for XRP prices. Notably, influential crypto commentator Rachelle Renee has expressed a differing opinion via platform X, suggesting that the upcoming Ripple-SEC verdict may have less impact on XRP’s price than many investors anticipate.

How Will The XRP Price React?

As a researcher, I approach Ripple’s case with a somber perspective, focusing on the potential penalties that could arise from the legal resolution. In essence, it’s about understanding the specific ways in which Ripple may face consequences for minor transgressions.

Renee voiced doubts about whether the legal resolution could trigger a significant jump in XRP‘s price. She believed that the key event for potential price growth occurred when Judge Torres first clarified regulations back in July of last year, an event that has since passed without causing a lasting impact. “If clarity had been decided at that point,” Renee explained, “we should have seen it rise steeply. But it didn’t.”

Institutional investors, being the main force behind such a surge, simply needed assurance that buying, holding, and using XRP was legal. That confirmation has been given. Hence, Ripple’s potential reprimand for early XRP sales is not expected to impact their investment plans: “Institutions just needed to know it’s legal now to buy, hold, and use XRP. They got that. The fact that #ripple might face penalties for early XRP sales won’t change their strategies.”

Renee opined, “Unfortunately, I must express my viewpoint: I doubt the upcoming Ripple/SEC/Torres event will impact the value of XRP. Major institutions that could potentially spike its price are already aware it’s legal to interact with XRP, and the details of Ripple’s penalty aren’t expected to sway their decisions any more than they already have.”

She also admitted that although a slight increase in the price of XRP might transpire post-resolution, she is convinced that it won’t be the massive surge many anticipate – the “moon shot.” Renee instead proposed that substantial fluctuations in XRP would more plausibly stem from fresh advancements showcasing XRP’s practical applications and broad acceptance by influential global entities, such as banks and financial corporations.

Instead of Renee’s cautious predictions, Bas van Gestel, another voice within the XRP community, expressed a more optimistic viewpoint. Van Gestel suggested that the resolution of the Ripple-SEC case could trigger a significant rise in XRP’s value due to increased regulatory clarity drawing in additional investors, institutional adoption by major banks, and expanded global partnerships that would widen the currency’s applications.

In response to van Gestel’s optimism, Renee emphasized her belief that many of the factors expected to trigger a price increase have already been realized, as regulatory clarity has been established more than a year ago. She raised doubts about the timing of institutional adoption and major global announcements mentioned by van Gestel, implying that while these events could be significant and influential, they haven’t yet had a substantial impact on the XRP price.

Renee argues that since the regulatory guidance was given more than a year ago, one might expect significant announcements by now. However, she remains optimistic that such announcements are forthcoming. Yet, she does not believe they will be made during the final resolution of the Torres case.

At press time, XRP traded at $0.5632.

Read More

2024-08-02 10:56