XRP whales expect slight recovery in altcoin after recent developments in the SEC vs Ripple lawsuit


  • Attorney John Deaton argues that XRP adoption is three years behind as a result of delisting on exchanges and other effects of the SEC lawsuit. 
  • Ripple XRP suffered a decline in its adoption compared to other altcoins that witnessed fast-paced development and expanding utility since 2020. 
  • XRP price is struggling to make a comeback to key resistance at $0.60 as the community awaits Ripple’s filing before the September 1 deadline.

Ripple battles XRP's declining adoption and large wallet investors are eyeing a recovery in the altcoin. While the SEC vs Ripple lawsuit resulted in a lag in XRP adoption, the altcoin has since been relisted on exchanges like Coinbase.

Pro-XRP lawyer John Deaton notes how XRP lags behind in its development when compared to other altcoins over the past three years. This is one of the consequences of the SEC’s lawsuit against Ripple.

Also read: SEC vs Ripple, the legal battle intensifies as XRP holders expect new changes from SEC appeal

XRP adoption lags behind as community awaits Ripple’s filing

Attorney John Deaton, an XRP token holder, told the community in a recent tweet that the damage caused to XRP’s adoption by the SEC lawsuit cannot be underestimated.

XRP suffered a lag in its adoption. Prior to the lawsuit, exchanges like Coinbase promoted the XRP token. Deaton revealed that he personally doubled down on XRP holdings after the altcoin’s listing on Coinbase, and this promoted the altcoin’s utility. 

Meanwhile, the XRP community of holders is awaiting the filing of a motion from Ripple and its executives before the September 1 deadline. According to the schedule set by the court, the SEC will have time to respond to Ripple’s filing until September 8. Find out more about the dates here.

Interestingly, ahead of the deadline to file motions, whale activity signaled mild recovery signs in the altcoin. Based on data from crypto intelligence tracker Santiment, 221 whale wallet addresses holding between 10 million and 1 billion XRP tokens, now have a combined holding of 16.3 billion tokens worth $8.71 billion. 

XRP accumulation by whale wallets, as seen on Santiment

XRP accumulation by whale wallets, as seen on Santiment

At the time of writing, XRP price is trading at $0.5214, struggling to make a comeback above the 10, 50 and 200-day Exponential Moving Averages (EMAs) at $0.5528, $0.6021 and $0.5250, respectively.

Cryptocurrency prices FAQs

How do new token launches or listings affect cryptocurrency prices?

Token launches like Arbitrum’s ARB airdrop and Optimism OP influence demand and adoption among market participants. Listings on crypto exchanges deepen the liquidity for an asset and add new participants to an asset’s network. This is typically bullish for a digital asset.

How do hacks affect cryptocurrency prices?

A hack is an event in which an attacker captures a large volume of the asset from a DeFi bridge or hot wallet of an exchange or any other crypto platform via exploits, bugs or other methods. The exploiter then transfers these tokens out of the exchange platforms to ultimately sell or swap the assets for other cryptocurrencies or stablecoins. Such events often involve an en masse panic triggering a sell-off in the affected assets.

How do macroeconomic releases and events affect cryptocurrency prices?

Macroeconomic events like the US Federal Reserve’s decision on interest rates influence risk assets like Bitcoin, mainly through the direct impact they have on the US Dollar. An increase in interest rate typically negatively influences Bitcoin and altcoin prices, and vice versa. If the US Dollar index declines, risk assets and associated leverage for trading gets cheaper, in turn driving crypto prices higher.

How do major crypto upgrades like halvings, hard forks affect cryptocurrency prices?

Halvings are typically considered bullish events as they slash the block reward in half for miners, constricting the supply of the asset. At consistent demand if the supply reduces, the asset’s price climbs. This has been observed in Bitcoin and Litecoin.


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