XRP Investors Eye All-Time High as Final Ripple-SEC Trial and Bitcoin Halving Loom
The cryptocurrency market has witnessed a surge in interest in Ripple's native token, XRP, with the number of wallets holding at least 1 million tokens approaching an all-time high. This development reflects increased investor confidence despite recent price fluctuations.
According to data from market intelligence platform Santiment, the number of XRP wallets with holdings exceeding 1 million tokens has steadily increased over the past six weeks, reaching 2,013 wallets. This figure is just one wallet shy of the previously recorded all-time high of 2,014 wallets in June 2023.
This accumulation trend is particularly noteworthy given that XRP's price has fluctuated within a relatively narrow range of $0.45-$0.70 over the past several months. However, many investors appear to view these levels as a buying opportunity, increasing their exposure to the asset.
Analysts speculate that the upcoming final phase of Ripple's ongoing lawsuit with the U.S. Securities and Exchange Commission (SEC) could significantly influence XRP's price trajectory. The trial, which is set to conclude on April 23, 2024, will determine whether XRP is considered a security, as alleged by the SEC.
A favorable outcome for Ripple could boost XRP's value, similar to the surge it experienced following the company's partial victory in an earlier phase of the lawsuit. Conversely, an adverse ruling could lead to a price decline and potentially stricter regulatory oversight for cryptocurrencies.
Another factor that may contribute to XRP's price movement is the recent Bitcoin halving event. The halving, which occurs approximately every four years, reduces the block reward for Bitcoin miners by half. Historically, Bitcoin price rallies and overall market resurgence have followed halving events.
Notably, XRP traded at approximately $0.20 at the time of the previous halving in 2020. Within a year, its value had surged to almost $2.
The combination of the Ripple-SEC trial and the Bitcoin halving has created a sense of anticipation among investors, who are closely monitoring market developments in anticipation of a potential XRP price breakout.
Despite the potential for volatility, the increasing number of large XRP wallets indicates that investors remain bullish on the asset's long-term prospects. The outcome of the SEC trial and the impact of the Bitcoin halving will be key factors to watch in the coming weeks and months.
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