On September 22nd, the FOMC conducted three consecutive giant steps (0.75 percentage point interest rate hikes in interest rates. Click here The virtual currency market has been weak in general recently because it was clear that the U.S. would actively raise interest rates without slowing global inflation.
However, the price of cryptocurrency ripple (XRP) has been soaring over the past week.
the recent surge in riffle prices
Ripple prices once hit $0.5498 from $0.3212 a week ago. It’s up 71.16% over the past seven days. While all other coins have been on the decline recently, the biggest reason why ripple prices have soared is that ripple companies are likely to win years of lawsuits between Ripple and the U.S. Securities and Exchange Commission (SEC).
Until now, the U.S. Securities and Exchange Commission considered Ripple and other cryptocurrency as “securities” and was regulated by U.S. securities laws, and Ripple has filed a lawsuit against Ripple and various cryptocurrency issuers.
According to overseas media Gcrypto, Ripple has already won several intermediate victories in its lawsuit with the U.S. Securities and Exchange Commission (SEC). If the court finally agrees with Ripple, it is expected that the price of other coins will rise as well as Ripple.
Already in November 2021, a jury verdict was made on whether another cryptocurrency, Hashlets, was securitized. At that time, the jury decided against the SEC’s claim that cryptocurrency is a securities. The reason was that the SEC did not clearly prove that the coin was a securities.
Securities and Exchange Commission SEC
Meanwhile, the U.S. Securities and Exchange Commission (SEC) later requested an extension of the deadline for the plaintiff’s rebuttal report in the trial against the plaintiff, but Ripple refused.
The court also allowed Ripple’s investors to participate in the trial process as “judicial advisors.” This is also thought to be a court judgment in favor of Ripple.
At the time, Gallinghouse, the CEO of Ripple, predicted that it would be optimistic that there would be a favorable conclusion for Ripple sometime in 2022.
In addition, in the option market, the number of “call options” purchases that are expected to rise in ripple prices at the end of 2022 has continued to increase. According to the industry, many fund managers are selling 50 cents worth of ripple call options at the event price, which expires on December 30. This is an investment product that benefits if the ripple price exceeds 50 cents before December 30, 2022, and has already surpassed it as of today.
The U.S. Securities and Exchange Commission has regulated almost all cryptocurrencies except Bitcoin and Ethereum as securities. If this logic is denied, it is considered a great boon for the cryptocurrency market. Because regulatory uncertainty is eliminated.
Due to various circumstances, a ruling in favor of Ripple is likely to come out within this year. This investor sentiment is thought to be leading the recent price increase of Ripple.
Today, we looked at the news and reasons for the recent surge in ripple. I think we should pay more attention to the price of the ripple in the future.