- XRP network activity surged over the past week, a sign of a recovery in the altcoin.
- If history repeats itself, XRP price could jump between 10 and 40%, based on past evidence.
- Ripple’s chief legal officer sees benefits from the SEC lawsuit and remains optimistic over a win against the SEC.
XRP has registered a surge in on-chain activity over the past week, according to data from crypto intelligence tracker Santiment. Typically, a spike in transactions have acted as a precursor of a price rally in the altcoin. This was observed on three occasions recently, making it more likely that XRP price breaks into a rally soon.
Also read: Pro Ripple attorney shows new evidence to support Ripple case against SEC
XRP on-chain activity increases
Daily active addresses in XRP increased nearly seven times, from 17,554 addresses to 142.38K over the past week, according to data from crypto intelligence tracker Santiment. This year, similar spikes were followed by rallies in the altcoin’s price, ranging from 10% to 40% gains within two to four weeks after the rise in network activity.
%20[13.36.31,%2028%20Jun,%202023]-638237034222937523.png)
Daily active addresses (XRP)
If history repeats itself, XRP price could register a bullish breakout in the short term. As seen in the chart above, XRP daily addresses climbed on March 19, between May 27 and May 29, and from June 23.
Other on-chain metrics paint a bullish picture
XRP’s transaction count increased, as did transaction volume, over the past week. These are other bullish on-chain indicators that support the thesis of a price rally.
%20[14.10.01,%2028%20Jun,%202023]-638237034686649149.png)
Transaction count and volume in XRP
As seen in the chart above, spikes in transaction count have acted as a precursor to price rallies, similar to an increase in daily active addresses. These catalysts are expected to drive XRP price higher in the short term.
SEC vs. Ripple lawsuit update
Pro XRP attorney John Deaton addressed the speculation that the SEC vs. Ripple lawsuit was staged, in a recent broadcast. Deaton said on his YouTube channel CryptoLawTV, that there is no “secret plot,” the lawsuit is not staged and he alongside 76,000 XRP holders are actively involved in the lawsuit.
While XRP holders await a ruling from Judge Analisa Torres of the US District Court for the Southern District of New York, rumors have surfaced on Twitter and social media platforms. Crypto influencers and community members are speculating the reasons for delay in judgement and have been questioning the authenticity of the SEC vs. Ripple lawsuit.
John Deaton tackled the concern, as a former prosecutor and a pro XRP attorney, in his broadcast. Check it out here:
For XRP price targets, check this post.
SEC vs Ripple lawsuit FAQs
Why are the US Securities and Exchange Commission and Ripple litigating?
The United States Securities and Exchange Commission (SEC) brought charges against Ripple and its executives alleging that the cross-border payment settlement firm raised more than $1.3 billion through an unregistered asset offering of the XRP token. Ripple argues that XRP should not be treated as a security or an investment contract, just like the SEC looks at Bitcoin or Ethereum, citing views from former SEC Director of Corporation Finance William Hinman.
When did the SEC vs. Ripple court case start?
The SEC charges were made public in December 2020. The long-running litigation, presided by Judge Analisa Torres, seems to be close to its end as both parties fail to reach an agreement.
What are the effects on XRP price?
Ripple is the largest holder of the altcoin XRP. The SEC’s charges against Ripple resulted in a mass delisting of XRP across crypto exchange platforms and a sharp decline in the token’s value, which used to be the third crypto asset by market capitalization after Bitcoin and Ethereum. A positive outcome for Ripple in its case against the SEC would benefit XRP’s price, while a SEC win is likely to weigh further on the asset, experts say.
Which implications could the ruling have on the overall crypto industry?
The final verdict in the SEC vs. Ripple lawsuit is the most highly anticipated in the crypto ecosystem. The lawsuit is expected to set precedent for other open cases that affect dozens of digital assets. A ruling in favor of the SEC would most likely bring further regulation to the sector as it would classify most tokens as securities. On the contrary, Ripple’s win would be interpreted as a validation of the crypto markets and could boost investors' confidence if current legal uncertainties surrounding digital assets in the US are solved.
What about secondary sales of XRP among traders?
The ruling may also include views over XRP secondary sales, which directly affects investors who trade XRP on cryptocurrency exchange platforms. Pro-Ripple attorney John Deaton, who filed an amicus brief in the SEC vs. Ripple case, suggests this matter is likely to be addressed. A ruling stating that secondary sales don't qualify as securities, contrary to what the SEC claims, is likely to be beneficial for XRP.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended Content
Editors’ Picks
Crypto fraud soars as high-risk addresses on Ethereum, TRON networks receive $278 billion
The cryptocurrency industry is growing across multiple facets, including tokenized real-world assets, futures and spot ETFs, stablecoins, Artificial Intelligence (AI), and its convergence with blockchain technology, as well as the dynamic decentralized finance (DeFi) sector.
Bitcoin eyes $100,000 amid Arizona Reserve plans, corporate demand, ETF inflows
Bitcoin price is stabilizing around $95,000 at the time of writing on Tuesday, and a breakout suggests a rally toward $100,000. The institutional and corporate demand supports a bullish thesis, as US spot ETFs recorded an inflow of $591.29 million on Monday, continuing the trend since April 17.
Meme coins to watch as Bitcoin price steadies
Bitcoin price hovers around $95,000, supported by continued spot BTC ETFs’ inflows. Trump Official is a key meme coin to watch ahead of a stakeholder dinner to be attended by President Donald Trump. Dogwifhat price is up 47% in April and looks set to post its first positive monthly returns this year.
Cardano Lace Wallet integrates Bitcoin, boosting cross-chain capabilities
Cardano co-founder Charles Hoskinson announced Monday that Bitcoin is integrated into the Lace Wallet, expanding Cardano’s ecosystem and cross-chain capabilities. This integration enables users to manage BTC alongside Cardano assets, providing support for multichain functionality.
Bitcoin Weekly Forecast: BTC consolidates after posting over 10% weekly surge
Bitcoin (BTC) price is consolidating around $94,000 at the time of writing on Friday, holding onto the recent 10% increase seen earlier this week.
The Best brokers to trade EUR/USD
SPONSORED Discover the top brokers for trading EUR/USD in 2025. Our list features brokers with competitive spreads, fast execution, and powerful platforms. Whether you're a beginner or an expert, find the right partner to navigate the dynamic Forex market.