XRP has recently shown significant strength in the crypto market, outperforming other major assets with a notable price increase of nearly 20% in just one day. While other cryptocurrencies have been struggling, XRP has managed to reach $0.64 before slightly retracing to $0.61. This surge has led to a monthly gain of 42%, showcasing a bullish trend for the digital asset.
One of the key factors contributing to XRP’s surge is the accumulation of tokens by whale wallets. According to Santiment’s data, wallets holding between 1 million to 10 million XRP now collectively possess an all-time high of 7.06 billion coins, worth approximately $4.42 billion. This group of whale entities accumulated over 662 million XRP in August alone, indicating a growing confidence in the asset. As a result, XRP’s market cap saw a significant 23% increase in the past 24 hours, further fueling the positive momentum.
In addition to whale accumulation, XRP has also experienced a surge in social media discussions, reaching their highest levels since January 30th. This heightened social activity, combined with the increased market cap, suggests a growing interest and speculation among investors regarding XRP’s future price trajectory. The positive sentiment surrounding XRP has caught future traders off guard, leading to the liquidation of $7 million worth of short positions in XRP over the past 24 hours, as reported by CoinGlass data.
The recent surge in XRP’s price can also be attributed to positive legal developments for Ripple Labs, the company behind XRP. A New York federal judge recently advanced towards concluding a three-year securities lawsuit against Ripple Labs, imposing a $125 million civil penalty on the firm and issuing a permanent injunction to prevent further violations of US securities laws. This ruling signifies a major “victory” for the industry and has boosted investor confidence in XRP, signaling a potential end to the lengthy legal dispute initiated by the Securities and Exchange Commission (SEC) in December 2020.
XRP’s recent surge in price can be attributed to a combination of factors, including whale accumulation, increased market cap, heightened social media activity, and positive legal developments. As XRP continues to outperform the broader crypto market, investors and traders are closely monitoring the digital asset’s future price trajectory with growing interest and optimism.
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