Why XRP Price Won’t Skyrocket After Ripple-SEC Ruling: Crypto Pundit
02 August 2024 - 5:48PM
NEWSBTC
As the XRP lawsuit between Ripple Labs and the US Securities and
Exchange Commission (SEC) inches closer to a ruling on remedies –
the final ruling on district court level – the crypto community is
abuzz with speculation about the potential repercussions for the
XRP price. Notably, Rachelle Renee, a popular crypto pundit, has
voiced a dissenting perspective via X, arguing that the forthcoming
Ripple-SEC ruling will not significantly impact the price of XRP,
contrary to the expectations of many investors. How Will The XRP
Price React? Renee’s analysis starts with a sobering view on the
nature of the legal resolution itself, which will penalize Ripple.
“It is simply the details on how Ripple will be punished for the
few minor indiscretions committed,” Renee explained. She expressed
skepticism about the potential for this legal closure to serve as a
catalyst for a substantial price increase of XRP. According to
Renee, the pivotal moment for a possible price surge was when
regulatory clarity was initially provided by Judge Torres in July
last year, a milestone that has already been passed without a long
lasting effect. “The point at which clarity was decided would have
been the time to see it move upward in a big way. It did not,”
Renee stated. Related Reading: XRP Price Breaks Out Of 6-Year
Triangle, But Is A Rally To $1 Possible? She further elucidated
that institutional investors, who might be considered a primary
driver for such a surge, only required confirmation that it was
legally permissible to buy, hold, and utilize XRP. This clearance
has already been granted. Therefore, the details of how Ripple
might be reprimanded for early sales of XRP are unlikely to sway
their investment strategies: “Institutions only needed to hear it
was legal now to buy, hold and use. That happened. They do not need
to hear or if #ripple will be punished for a few early sales of
XRP.” Renee concluded, “I hate to be the one to say it. But I do
not think the final Ripple/SEC/Torres event will do anything for
the price of XRP. The institutions that might drive a significant
price increase already know it’s legal to engage with XRP, and the
specifics of Ripple’s punishment are unlikely to influence their
decisions further.” She further conceded that while a minor uptick
in the XRP price could occur following the resolution, she firmly
believes that “this will not be the moon shot” many are hoping for.
Instead, Renee suggested that significant market movements for XRP
would more likely result from new developments that demonstrate
XRP’s utility and adoption by major global players, such as banks
and financial institutions. Related Reading: XRP Goes To All-Time
High If This Resistance Breaks: Crypto Analyst Contrasting with
Renee’s tempered expectations, Bas van Gestel, another voice from
the XRP community, presented a more bullish outlook. Van Gestel
argued that the end of the Ripple-SEC case would catalyze a major
surge in XRP’s price due to enhanced regulatory clarity attracting
more investors, institutional adoption by major banks, and global
partnerships that would broaden the currency’s use cases.
Responding to van Gestel’s optimism, Renee reiterated her point
that much of what was anticipated to drive a price surge has
already occurred, with regulatory clarity being established over a
year ago. She posed critical questions about the timing of the
institutional adoption and significant global announcements that
van Gestel cited as catalysts, suggesting that while these
developments are possible and could be impactful, they have yet to
materialize in a way that affects the XRP price meaningfully.
“Since regulatory clarity was provided over a year ago, why have we
not seen big announcements. I am a believer these announcements
will come. But not as part of the final Torres case close,” Renee
claims. At press time, XRP traded at $0.5632. Featured image
created with DALL·E, chart from TradingView.com
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