XRP rallies to $50 on Gemini, Ripple holders speculate outcome of SEC appeal against Judge Torres' ruling
- XRP token was relisted on Gemini exchange after Ripple’s partial victory against the SEC.
- XRP price briefly spiked to $50 on Gemini as a result of a thin order book and a price glitch, according to experts on crypto Twitter.
- The XRP holder community continues to speculate about SEC’s interlocutory appeal against Judge Torres’ ruling and how it will impact the altcoin’s status as a “non-security."
XRP witnessed a massive price rally and hit $50 on Gemini exchange platform. The relisting announcement by Gemini was received with enthusiasm in the crypto community. The XRP holder community continues to speculate the outcome of the US Securities and Exchange Commission's (SEC) interlocutory appeal against Judge Torres' ruling in the lawsuit.
Experts and crypto analysts in the Twitter community noted a major spike in XRP price within hours of relisting. XRP price climbed to the $50 level.
We have xciting news!
— Gemini (@Gemini) August 10, 2023
XRP is now available for deposits on Gemini. Trading support will follow xtra soon. pic.twitter.com/f2EjxewRm0
Also read: Ripple XRP update: SEC to appeal XRP ruling, non-security status of altcoin likely at risk
XRP token is relisted on Gemini, spikes to $50 on likely glitch
Gemini exchange relisted the XRP token on August 10. Once trading for the altcoin opened, XRP price climbed to the $50 level. Pseudonymous crypto analyst JackTheRippler, behind the Twitter handle @RippleXrpie, identified a sudden increase in XRP price.
Major exchange @Gemini had a glitch.
— JackTheRippler ©️ (@RippleXrpie) August 10, 2023
$50 per #XRP! pic.twitter.com/UBEWN7Rv7j
While XRP holders speculate the reason that drove the altcoin’s price higher, John S, a crypto analyst and trader, observed the order book and explained that at one point there were no XRP tokens for sale. A trader put up an XRP lot to sell at $50 and once the order was filled, the price climbed to $50 – either through price manipulation, a glitch or thin liquidity.
XRP orderbook on Gemini
Soon after the incident, Gemini announced scheduled maintenance, halting crypto deposits and withdrawals.
XRP price is $0.6363 on Binance at the time of writing. XRP price nosedived to $0.6357 on Gemini after the glitch was corrected, in line with other exchange platforms.
XRP holders continue to speculate on the impact of the US financial regulator’s interlocutory appeal and its impact on the altcoin’s holders and secondary market sales.
Ripple XRP community speculates backlash from SEC’s interlocutory appeal
To address the concerns of the XRP community, pro-XRP attorney John Deaton shared his views on the outcome of the appeal.
Deaton tweeted:
Everyone needs to understand what this is and isn’t! This is ONLY A PRE-MOTION LETTER. It’s asking the judge permission to file a formal motion asking for her to allow the SEC to then ask the 2nd Circuit Court of Appeals to accept an early appeal. It’s just like when I filed a… https://t.co/ujbpio8pUx
— John E Deaton (@JohnEDeaton1) August 10, 2023
Attorney Deaton highlights how Judge Torres is likely to grant the appeal but at the same time make her ruling reversal-proof or “appeal-proof.” The SEC’s application to file an appeal grants the judge time to explain her stance and ruling better and acts in favor of XRP holders, according to Deaton. XRP’s status as a non-security is therefore likely safe, irrespective of the interlocutory appeal and its expected outcome.
Cryptocurrency metrics FAQs
What is circulating supply?
The developer or creator of each cryptocurrency decides on the total number of tokens that can be minted or issued. Only a certain number of these assets can be minted by mining, staking or other mechanisms. This is defined by the algorithm of the underlying blockchain technology. Since its inception, a total of 19,445,656 BTCs have been mined, which is the circulating supply of Bitcoin. On the other hand, circulating supply can also be decreased via actions such as burning tokens, or mistakenly sending assets to addresses of other incompatible blockchains.
What is market capitalization?
Market capitalization is the result of multiplying the circulating supply of a certain asset by the asset’s current market value. For Bitcoin, the market capitalization at the beginning of August 2023 is above $570 billion, which is the result of the more than 19 million BTC in circulation multiplied by the Bitcoin price around $29,600.
What is trading volume?
Trading volume refers to the total number of tokens for a specific asset that has been transacted or exchanged between buyers and sellers within set trading hours, for example, 24 hours. It is used to gauge market sentiment, this metric combines all volumes on centralized exchanges and decentralized exchanges. Increasing trading volume often denotes the demand for a certain asset as more people are buying and selling the cryptocurrency.
What is funding rate?
Funding rates are a concept designed to encourage traders to take positions and ensure perpetual contract prices match spot markets. It defines a mechanism by exchanges to ensure that future prices and index prices periodic payments regularly converge. When the funding rate is positive, the price of the perpetual contract is higher than the mark price. This means traders who are bullish and have opened long positions pay traders who are in short positions. On the other hand, a negative funding rate means perpetual prices are below the mark price, and hence traders with short positions pay traders who have opened long positions.
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Author
Ekta Mourya
FXStreet
Ekta Mourya has extensive experience in fundamental and on-chain analysis, particularly focused on impact of macroeconomics and central bank policies on cryptocurrencies.
