Ripple shelves SEC lawsuit to strengthen market presence with investments, 10% payoff for investors

Ripple Labs recently purchased Bitstamp shares previously owned by an American investment firm, Pantera Capital,
The move was part of Ripple’s commitment to network expansion amid prolonged issues with the SEC.
It also aroused speculation of plans to continue with On-Demand Liquidity (ODL) objectives or improve its Liquidity Hub (LH) solution.

Ripple (XRP) price is poised for a 10% upswing amid a new move by the company to strengthen its market presence with investments. Based on a recent quarterly report from Galaxy Digital, the popular blockchain company has purchased Bitstamp shares. Notably, the acquisition involved shares previously belonging to Pantera Capital, an American investment firm specializing in digital assets and asset-based companies.

Also Read: Ripple price eyes 5% gains as $1.9 billion in market capitalization comes in

Ripple doubles down on network expansion despite SEC lawsuit

Ripple (XRP) is doubling its expansion vision and growth objectives despite the ongoing XRP lawsuit against the US Securities and Exchange Commission (SEC). According to Ripple CEO Brad Garlinghouse, the company boasts approximately $1 billion in reserves that could be channeled toward expansion projects.

Ripple aspires to be more than just liquidity & payments.

Acquisitions in crypto-friendly markets (like UAE and Switzerland), for expansion. pic.twitter.com/yTRMEasngN
— Crypto Eri 220k+ Followers (Beware of Imposters) (@sentosumosaba) May 18, 2023

Another citing of Ripple’s new acquisition was captured during a shareholder update conference call with Galaxy Digital President and CIO Christopher Ferraro. There is yet another mention of this move by influencer WrathofKahneman, who alleged that the acquisition represented something more than a mere purchase.

2. In 2014, Pantera invested $10m in Bitstamp (out of $12m round). Bitstamp is valued ~$400? (estimates vary). Trying to dig up more tx details. https://t.co/Va9HlQMz5M
— WrathofKahneman (@WKahneman) May 23, 2023

The tweet has sparked speculation on whether Ripple’s new acquisition opened it to continue with its On-Demand Liquidity (ODL) objectives or improve its Liquidity Hub (LH) solution. Meanwhile, Bitstamp remains among Ripple’s oldest partners for ODL, which adds weight to their partnership. Evidence of this is in the January move by Bitstamp to expand its services on the XRP Ledger (XRPL) via EUR-backed IOUs integration into the network.

Nevertheless, it should be noted that by acquiring Bitstamp shares, Ripple company advances its efforts to pursue growth opportunities in the agile and fast-paced digital asset space.

Ripple price picks network news over Bitcoin dominance, with 10% gains in sight

Ripple (XRP) price is coiling up for a 10% breakout after overcoming selling pressure presented by the 50-day Exponential Moving Average (EMA). Its current price of $0.453 is ushering in a new cohort of buyers from the 100- and 200-day EMA at $0.445 and $0.436, respectively. An increase in buyer momentum above these levels could fuel a rally north, potentially toward the $0.491 resistance level, or, in a highly bullish case, tag $0.559, denoting a 20% climb.

The Parabolic SAR, a trend-following indicator, had just flipped below the XRP price to indicate more gains to come. This reinforces the positive outlook. Further, the Awesome Oscillators (AO) were steadily but progressively pulling towards the positive zone above the mean line, adding credence to the bullish thesis.

XRP/USDT 1-Day Chart

On the other hand, traders booking profits at break-even could halt the northbound gusto for Ripple price. Below the three EMAs, a breakdown could see the remittance token retrace the $0.408 support base before a possible bounce.

Also Read: Ripple price aims for $0.50, but its independence from BTC and reliance on network news is concerning

Share: Cryptos feed

Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.

If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.

FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.

The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.

Join Telegram