XRP Sees 266% Surge In Institutional Buying Power As Ripple Battles SEC Lawsuit Appeal
XRP experienced a significant increase in institutional investor buying as the legal battle between the U.S. Securities and Exchange Commission (SEC) and Ripple moved to the Second Circuit Court of Appeals. Following Ripple’s recent victory in a district court and its favourable position in the circuit court, investors are showing optimism for a potential rally in XRP’s price.
XRP Token Buying Capacity
Institutional investors poured $1.1 million into XRP last week, marking a 266% surge compared to the previous week, according to a CoinShares report from October 14. This surge coincided with preparations for the appeals process between Ripple and the SEC.
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During the same period, digital asset investment products saw $407 million in net inflows as investors expressed bullish sentiment for a potential rally in October, despite concerns about rising inflation in the U.S. XRP’s price has risen by over 1% in the past 24 hours, currently trading at $0.54, with a 24-hour low and high of $0.525 and $0.540, respectively. Additionally, trading volume has increased by 45% in the last 24 hours, indicating growing interest among traders.
In the midst of these developments, total XRP futures open interest has increased by over 3% in the last 24 hours, reaching $1.39 billion, equivalent to $750.53 million.
Ripple SEC Lawsuit
The legal battle between Ripple and the SEC has escalated to the Second Circuit Court, with the SEC appealing Judge Torres’ decision to impose a $125 million penalty instead of the nearly $2 billion sought by the agency. Ripple, in response, has filed a notice of cross-appeal to challenge the SEC’s appeal. Ripple’s CEO, Brad Garlinghouse, has expressed confidence that the cross-appeal will bring an end to the SEC’s regulatory overreach under Chair Gary Gensler’s leadership.
Former SEC Lawyer Stance
Meanwhile, Former SEC lawyers have suggested that the SEC may challenge programmatic sales and secondary market sales in its appeal. Additionally, Bitnomial has sued the SEC over its classification of XRP as a security despite previous court clarity on the matter. Furthermore, concerns have been raised about the SEC’s treatment of XRP futures contracts, especially in comparison to similar cases involving Ethereum (ETH).
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Dr. Olajide Samuel juggles the demands of medical studies with a passion for cryptocurrency. A seasoned blogger, Olajide shares his vast global knowledge of the crypto space, offering insights to enthusiasts. Despite his busy schedule, his commitment to crypto remains strong, and he actively seeks ways to contribute to its future.
