- Wallets holding 1 million XRP almost hit the all-time count, leading the price higher.
- The outcome of the remedies-related filing might determine if XRP would rally as it did last July
On the 22nd of April, the price of Ripple [XRP] jumped by 6%, outperforming every other altcoin in the top 10 per market cap. The value of the token, as of the said date, hit $0.56.
But press time data showed that it had reversed to $0.54. However, AMBCrypto found that the earlier rally was not without cause.
According to our analysis, thanks to data provided by Santiment, XRP wallets holding at least one million tokens got close to their all-time high.
The last time the metric hit such numbers was on the 18th of June 2023, when it was 2014. On Monday, the same metric hit 2013, indicating that the amount had increased by 3.1% in the last six weeks.
Source: Santiment
‘Ripple won’t pay that amount’
When this like happens, it means that large investors are convinced that the price of a cryptocurrency might perform well. Taking it back to June, XRP’s price when the wallets hit the high amount was $0.47.
A month later, the price jumped to $0.84. However, it is important to note that this happened at a time when Ripple got a partial win over the U.S. SEC.
Interestingly, it seemed that the playbook was rewinding itself, as there had been an update to the case. The SEC had asked the court to approve a whopping $2 billion fine against the company.
But Ripple, in its remedies’ opposition statement, argued that the request was outrageous. Instead, the blockchain-payment firm, said it was not willing to pay more than $10 million
Ripple’s Chief Legal Officer Stuart Alderoty commented on the matter on X (formerly Twitter). According to him, Ripple won on significant issues.
Alderoty also noted that it had no case of fraud to warrant a $2 billion fine.
Source: X
Will XRP hit $0.84 again?
Should the judge favor the SEC at the end of the remedies, XRP’s price might plunge.
However, if the judgment falls on Ripple’s side, then XRP might produce another hike similar to the one experienced last July.
Unlike the 1M+ wallets, XRP’s network growth fell. Network growth tracks the number of new addresses interacting with a network.
An increase in the metric means a surge in adoption of the token. But as of this writing, the metric was down to 389, indicating that only a few new addresses were making their first transactions.
If network growth continues to fall, then XRP’s price might evade a further increase, and a decline to $0.50 could be next. On the other hand, a rise in the metric could place the token in pole position to hit $0.62.
Source: Santiment
Is your portfolio green? Check the XRP Profit Calculator
Meanwhile, the one-day circulation dropped to 260.01 million, indicating less usage of the token in transactions.
For the price, the decline in circulation could be a good thing, considering that selling pressure might not halt the upward momentum.
