- On-chain data indicates that XRP recently attained trading volumes of over 18 billion XRP in a single day.
- The spike in trading volumes could be a result of the wins Ripple Labs scored over the SEC.
- Ripple has been enmeshed in a legal tussle with the SEC since December 2020 over the alleged sale of unregistered securities.
XRP recorded unprecedented activity as trading volumes nearly hit 18 billion XRP in a single day. Several reasons could be pointed out for the maddening rush of Ripple’s native token, including the small wins against the Securities and Exchanges Commission (SEC).
A Beehive of Activity for XRP
Santiment shared a chart of transaction volumes for XRP that indicated a massive spike for the asset. The wild swings of transaction volumes left on-chain analysts scratching their heads as they tried to make sense of the moves.
“XRP Network saw a major anomaly to end the week, with a rapid surge up to 18.7 billion in $XRP trading volume in the final hour of Friday (UTC),” said Santiment. “This may be worth monitoring for some unordinary upcoming weekend price actions.”
The spike in trading volumes comes on the heels of a series of tactical victories by Ripple Labs over the SEC. The court denied a motion from the SEC to prevent a speech by the Commission’s ex-officer where he described Ethereum as a security. The court slammed the SEC and described such a proposal as “hypocrisy” and not within the tenets of the laws guiding the Commission’s activities.
The SEC seeks to protect the identities of its expert witness and the content of their testimonies in a move that Ripple Labs has described as being “unprecedented.” With the tide in favor of Ripple Labs at the moment, bulls are hoping the courts will side with the cryptocurrency firm on the subject of expert witnesses.
XRP has made an impressive double-digit gain of 11.43% over the week, thanks to the beehive of trading activity. The last 24 hours saw a leap of nearly 5% as the token continues to trade at $0.3647. Market capitalization stands at $17.62 billion, leaving XRP as the sixth-largest crypto with close competition from Binance USD (BUSD).
What if it all goes south?
XRP bulls are banking heavily on the outcome of the case against the SEC. If the firm wins, it could send the asset prices over the moon, but a negative resolution could send them to dizzying lows.
Ripple Labs CEO Brad Garlinghouse announced that if the firm loses the legal battle to the SEC, the next step would be to relocate from the US to any other receptive jurisdiction.
The firm has been making incursions outside the U.S, with the Colombian Government launching a national land registry on the XRP ledger, while significant partnerships have been struck in South East Asia.
Bulls can now breathe a sigh of relief after its co-founder Jed McCaleb completed his eight-year dumping spree of the asset. McCaleb’s last transfer was 1 million XRP worth $394,742 with an “ACCOUNT DELETE” transaction removing the account from XRP’s transaction ledger shortly.