Ex-Ripple Director Explains XRP Price Slide Amid Good News
June 12 2024 - 7:00AM
NEWSBTC
Via X, Sean McBride, a former director at Ripple, offered an
analysis of the perplexing downtrend of the XRP price despite a
series of ostensibly positive developments surrounding Ripple and
the XRP Ledger (XRPL). McBride’s insights come at a time when XRP’s
underperformance in a bullish market continues to baffle investors
and industry observers alike. Why Is XRP Price Down Despite A Slew
Of Positive News? Despite recent bullish periods in the broader
crypto market, XRP has notably failed to capitalize on these gains.
In a conversation with X users, McBride attributed this lackluster
performance to the ongoing legal battle between Ripple and the US
Securities and Exchange Commission (SEC), highlighting the critical
impact of impending judicial decisions on XRP’s valuation. Related
Reading: Crypto Analyst Predicts XRP Price Will Rally 50,000% To
$250, Here’s When On July 13, 2023, Judge Torres’s ruling that XRP
is not a security led to a temporary surge by 100% to $0.93,
demonstrating the market’s sensitivity to legal developments.
However, eleven months later, XRP’s price has halved, reflecting
ongoing concerns about the possible long-term implications of the
SEC’s actions and the potential for an appeal, which McBride
acknowledges could happen unless the ruling is unfavorable to
Ripple. “Nothing significant is going to happen with the price of
XRP until Judge Torres makes her decision. So anyone expecting
anything different is delusional,” McBride explained, adding “once
Torres makes her decision, I think we find out a bit more about
what’s actually behind the curtain. This could open up the door for
US institutions working with Ripple to ‘flip the switch’. We will
just have to wait and see if that’s the case.” Despite the
overshadowing legal drama, Ripple has not been short on positive
news. Recently, Ripple announced the creation of the XRPL Japan and
Korea Fund on June 11, 2024, a significant initiative with an
allocation of 1 billion XRP aimed at catalyzing the growth and
development of the XRPL ecosystem in East Asia. Additionally,
Ripple’s strategic acquisitions have been notable. The company has
successfully finalized its acquisition of Standard Custody &
Trust Company. In May 2023, Ripple further expanded its services by
acquiring blockchain firm Metaco for $250 million, and in April, it
announced plans to launch a stablecoin aimed at bolstering the XRP
Ledger ecosystem. Related Reading: Crypto Analyst Predicts XRP At
$0.75 In July Despite Year-Long Slump Commenting on these strategic
shifts by Ripple, McBride noted, “Ripple is perfect, they don’t
make any mistakes. Their executives fart rainbows. Everything they
have done turns to gold. Wake the f*ck up people. If you think
that’s how Ripple operates, you’re sorely mistaken. They are
vocally self-critical, employees have backbone; disagree and
commit. Ripple has changed their strategy many times.” Notably,
Ripple has been proactive in securing over 40 Money Transmitter
Licenses (MTLs), necessary for its payment operations across the
United States. “The next big piece of this is clear legislation in
the US. Hopefully that is on the way with the recent developments
in Congress and Trump’s commitment to Crypto (assuming he becomes
President),” McBride remarked. In response to a user’s inquiry
about the likelihood of an SEC appeal if Ripple receives a
favorable ruling, McBride commented, “Shouldn’t stop what’s
happening in the US from happening, IMO, unless of course the
ruling is not in Ripple’s favor.” Addressing another user’s
observation about a perceived shift in his tone regarding Ripple
and XRP, McBride reassured, “No, not at all. I’m still very
positive on Ripple and XRP. […] I’m a big fan, but that doesn’t
mean I’m blind to the realities of what’s happening.” At press
time, XRP traded at $0.4818. Featured image created with DALL·E,
chart from TradingView.com
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