Analyst Believes XRP is Losing Strength Against Other Cryptos
- Embattled XRP has struggled against other digital assets in the last few months.
- Ongoing legal battle between the SEC and XRP is taking a toll on the cryptocurrency.
Bill Morgan, a lawyer and cryptocurrency enthusiast, has pointed out an unusual trend associated with XRP since the recent crypto rally began. According to Morgan, the embattled cryptocurrency has struggled against other digital assets in the last few months.
The XRP token trades at $0.3915 as of the time of writing. It also ranks as the 6th largest cryptocurrency, per Coinmarketcap. Compared with the U.S. dollar, the price of XRP has climbed by 30.27% since the beginning of 2023. However, matching it against Bitcoin shows a relative decline in value by 25.36%.
The ongoing legal fiasco between XRP and the Securities and Exchange Commission (SEC) plays a significant role in the ongoing struggles of cryptocurrency.
In a filing in 2020, the SEC alleged that Ripple, the creator of the XRP token, raised over $1 billion in an unregistered security offering using the token. By the SEC’s categorization, XRP is supposed to be a security. In defense, Ripple faulted the filing by the SEC, arguing that XRP is not a security.
The case is still ongoing in the Southern District Court of New York and could conclude before the end of the first half of 2023.
XRP’s performance in recent months has been below par, considering its price action and history. In the past few years, it held a reputation as one of the most volatile cryptocurrencies. XRP was one of the most sought-after tokens during the previous bull runs. This time, the momentum has slowed down, perhaps in anticipation of the outcome of the legal challenge.
Several XRP fans believe all is well, with nothing to worry about. One such fan noted that comparing XRP with BTC is irrelevant. In his opinion, what matters is XRP’s performance against fiat currencies.
A second fan insists XRP has held its own against other cryptos apart from BTC. He noted that while the token’s price has increased, it still maintains a powerful sentiment against other altcoins.