Bitcoin experienced a slight drop over the weekend but managed to make a recovery on Monday, reaching a trading price of over US$30,300 in Asia. However, the price quickly fell back to the level it was at before the favorable ruling in the lawsuit between Ripple and the U.S. Securities and Exchange Commission (SEC).
Last Thursday, Ripple, the issuer of XRP, received a partial victory in its legal battle against the SEC when New York Southern District Court Judge Analisa Torres ruled that Ripple’s sales of the XRP token on public exchanges did not qualify as securities. This ruling led to significant gains for various cryptocurrencies within the top 10, with XRP being the frontrunner in terms of gains. Despite the victory, there is still uncertainty ahead for Ripple as the court ruled that XRP sales to institutional investors violated securities laws.
Caroline Bowler, the CEO of Australia-based crypto exchange BTC Markets, stated that there would be further court proceedings regarding Ripple’s violation of securities laws, and it remains unknown if the SEC will appeal the ruling. This uncertainty could potentially create more instability for Ripple in the future.
Despite the ongoing legal situation, XRP continued to lead the gainers on Monday with a 5.58% increase to reach US$0.7577, resulting in a weekly surge of 61.56%.
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In other news, BlackRock’s application for a spot Bitcoin exchange-traded fund (ETF) has been added to the SEC’s official docket. This decision indicates that the regulator will review the proposal seriously. BlackRock, the world’s largest asset manager with over US$9 trillion in assets, submitted the application less than a month ago. The news of BlackRock’s application caused the value of Bitcoin to surpass the US$31,000 resistance level earlier this month as other major asset managers followed suit with similar ETF proposals.
Additionally, Ether, the second-largest cryptocurrency, experienced a 0.20% gain, reaching US$1,934.09 and achieving a 3.81% increase over the past seven days.
Among the top 10 non-stablecoin cryptocurrencies, there was a mix of gains and losses. Dogecoin, for instance, experienced a 2.53% dip to US$0.07. However, the token still managed to record a 6.89% gain for the week. Cardano’s ADA also fell by 2.52% to US$0.3185, limiting its weekly gain to 12.08%. Similarly, Binance’s BNB lost 2.43% to US$244.95, although it is currently trading 4.68% higher than it was a week ago.
Overall, the total crypto market capitalization increased by 0.16% in the past 24 hours to reach US$1.22 trillion. On the other hand, trading volume fell by 11.97% to US$24.91 billion.
As investors await earnings reports from major banks, U.S. stock futures have edged lower, reflecting the cautious sentiment in the market. The performance of these banks could provide important insight into the overall health of the economy and potentially impact the broader financial markets.
In conclusion, Bitcoin experienced a temporary dip before rebounding, while XRP saw significant gains following a positive ruling in the Ripple-SEC lawsuit. The addition of BlackRock’s ETF application to the SEC’s docket indicates growing interest and acceptance of cryptocurrencies in mainstream finance. However, uncertainties still surround Ripple’s legal situation, and the performance of major banks will be closely monitored by investors.
