After the big SEC lawsuit that slammed Ripple company, XRP prices fell significantly and erased all the gains it made alongside the cryptocurrency market. People became very worried about the idea of owning a cryptocurrency that is described as “centralized”, something that defies the whole purpose of cryptocurrencies. On the other hand, having lawsuits especially from the SEC is a big red flag, something investors tend to run away from. But what if things turned upside down and XRP manages to win the lawsuit? Would this event bring back investors on board and go back to reaching new highs?
XRP Price Prediction – The Story So Far
When the cryptocurrency market started booming earlier this year, XRP prices lagged behind for a couple of weeks just as it did back in 2017. The price exploded from its average consolidation of USD 23 cents and went on to reach USD 73 cents.
A small breather happened that took the price down to the USD 50 cents price area. Then instead of going back upwards with the cryptocurrency market, XRP was slammed by a lawsuit from the SEC. This terrible event brought back the XRP price down to the USD 17 cents, a very strong support area from back in 2017.
The price directly adjusted from the low of USD 17 cents back o the initial consolidation area of USD 23 cents, all until 2 days ago, when the US witnessed its biggest chaotic protests affected the US CAPITOL. With the US busy with its president transition, disorder seems to loom all over, prompting investors to shift their focus towards cryptocurrencies.
XRP Price SHOT THROUGH THE ROOF, AGAIN!
In the past 2 days, and following the US protests, XRP price managed to take advantage and shoot all the way breaking the USD 30 cents barrier, currently sitting at USD 32 cents, making a hefty 40%.
Is there a chance for a Ripple Comeback?
It all depends on the lawsuit with the SEC and how things progress. If Ripple company manages to win the lawsuit, or even settle, XRP has a chance to grow back and reach even the USD 1 price mark. But it all depends on two things:
- Lawsuit progression
- Strong price technicals: price momentum breaching the resistance of USD 40 cents
So far, we know that the lawsuit by the SEC is not a criminal one, but rather a civil lawsuit. The legal standard for civil cases is less strict than for criminal cases, for example civil penalties do not appear on a criminal record.
Also, a civil case can be leveled by anyone against any other member of society, be it an individual person or a corporate entity. Generally speaking, this is done to seek monetary compensation and formal statements of apology and wrongdoing, not time behind bars. So for the case of Ripple company, there might be a strong comeback if they manage to settle or even win the case.
Ripple CEO clarified many misconceptions about Ripple in a tweet yesterday, and stated that they tried to settle the case before it made headlines but failed to do so, and is currently working on resolving the case with the new upcoming administration:
Q: Why didn’t Ripple settle with the SEC?
Can’t get into specifics, but know we tried – and will continue to try w/ the new administration – to resolve this in a way so the XRP community can continue innovating, consumers are protected and orderly markets are preserved. 2/10
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