Crypto community expects $XRP price rise as whale holdings rise
The general consensus in the crypto world is that the price of $XRP will climb soon, with some forecasting that it will reach $0.40 by the end of January. This would be an increase of 14.3 percent from the current price of $0.346.
Over 1,300 people made predictions for the cryptocurrency’s price at the end of the month using CoinMarketCap’s price estimate function. The cryptocurrency market forecasts that XRP will trade at $0.399 in February, representing a gain of about 15.35% from current prices.
With the rest of the cryptocurrency market experiencing a correction over the last 30 days, the price of $XRP has fallen significantly from the $0.39 level. Over the same time span, the market’s entire capitalization has decreased by more than $50 billion.
According to data provided by CryptoGlobe, “whale addresses” on the $XRP Ledger now control 18.3% of the total supply, up from 16.7% five weeks ago. These accounts own between 100,000 and 10,000,000 tokens (between $34,000 and $3.4 million).
After the price of XRP began to surge at the end of September and the beginning of October, XRP whales began adding to their holdings while the U.S. Securities and Exchange Commission (SEC) and Ripple Labs sought to resolve their legal dispute.
In 2020, the SEC filed a lawsuit against Ripple and two of its executives, claiming that the company sold $1.3 billion in unregistered securities via the sale of XRP coins. Ripple insists that XRP is not a security.
CEO Brad Garlinghouse predicted earlier this year that Ripple will win its legal fight against the regulator. Coinbase and the Blockchain Association are just two of the major cryptocurrency companies that have come out in recent weeks to declare their support for Ripple.
After the regulator failed to prove that any offer or sale of XRP constituted an investment contract in violation of federal securities laws, Ripple’s attorneys recently filed a reply in support of a move for summary judgement.
In addition, according to Ripple’s legal team, the SEC failed to “prove that customers spent that money in a common venture” rather than “just purchasing an item,” as the Howey test requires.
If Ripple were to settle the litigation, it may cause a supply shock for XRP, which would likely result in a price spike since demand would stay constant while supply dropped. Legal expert and XRP advocate Jeremy Hogan says so.