The Ripple network has been at the center of attention in its ongoing legal battle with the U.S. Securities and Exchange Commission (SEC). Many have speculated about the impact of the SEC’s actions on the price of XRP, Ripple’s native token. However, a legal expert has come forward to assert that Ripple’s actions have little to no impact on the price of XRP, and that it is the SEC’s actions that truly influence its price.
Jeremy Hogan, a popular attorney, took to Twitter to express his thoughts on the matter. He stated, “Actually, nothing Ripple does has any real effect on XRP price, only the actions of the SEC change its price… strange.” This comment was made in response to other market participants who were discussing the recent price decline in XRP and its potential connection to the SEC.
Hogan’s assertion was supported by many in the crypto community, as market metrics suggest that the price of XRP has been affected by the SEC on previous occasions. It is important to note that the price of a cryptocurrency is not directly connected to the actions of the company behind it or the blockchain network it operates on. However, any negative events associated with the blockchain network can influence investors’ decisions and ultimately impact the price of the token.
In the case of XRP, there have been instances where its price experienced significant declines following news related to the SEC’s actions against Ripple. For example, in 2020, when the SEC labeled XRP as a security, the market saw a 25% drop in its price value, reaching a low of $0.35. This decline was accompanied by a decrease in market participation as traders and investors pulled out of the XRP market.
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Hogan further emphasized the influence of the SEC by sharing a screenshot of a candlestick chart showing a sharp increase in selling pressure following the SEC’s filing. XRP lost 2.44% of its price value and began trading at $0.62, down from its daily high of $0.66. In a sarcastic tone, Hogan commented, “The SEC’s handiwork. Always protecting investors.” This highlights the irony that while the SEC claims to protect investors, its actions may have negative consequences for the market.
It is worth noting that Hogan’s comments came shortly after the SEC made a request to file for an Interlocutory Appeal. This request could potentially have long-lasting effects on Ripple and the XRP market. However, Hogan believes that it is the SEC’s actions, rather than Ripple’s, that will ultimately determine the future price of XRP.
The ongoing legal battle between Ripple and the SEC has not only influenced market sentiment towards the Ripple network but has also had a broader impact on the position of the network within the global blockchain industry. Despite this, Hogan maintains that the actions of Ripple have little to no effect on the price of XRP, and it is primarily the SEC that has the power to sway its price.
In conclusion, according to legal expert Jeremy Hogan, Ripple’s actions have little influence on the price of XRP, while the SEC holds the power to significantly impact its value. The ongoing SEC vs Ripple lawsuit continues to shape the market’s perception of the Ripple network, and it remains to be seen how this legal battle will affect the future of XRP and its position in the cryptocurrency market.
