- XRP witnessed a sudden sell-off today, declining over 10%
- The coin still conserves some of this week’s gains at 22%.
- Ripple CEO Garlinghouse criticised how crypto has become a political issue.
XRP is bleeding, losing a good chunk of its gains this week at press time. Data from CoinMarketCap shows XRP has declined to $0.5521 (AU$0.82), a 9.28% decrease from yesterday.
And just like that, it’s gone.
Trading volume also declined terribly, down more than 24.7% to US$2.9B ($AU$4.32). Overall, it has been a week full of volatility for XRP. One reason for this sudden sell-off could be long-time holders taking profits or liquidating their trading positions.
But, if we zoom out, we can see XRP has been fluctuating between US$0.30 and US$0.60 for… well, several years now.
Before the sudden sell-off, XRP kicked off the week with a massive rally following rumours of a potential settlement between Ripple Labs and the Securities and Exchange Commission (SEC).
Related: XRP’s Rally Continues as Settlement Rumours Between Ripple and SEC Intensify
Ripple CEO Brad Garlinghouse refused to comment on the matter. However, he and his legal team “expect resolution very soon.”
Fast-forward to today, the good news is that XRP is still trading above US$0.55, which is a 22% weekly increase and an 11% monthly increase.
The other good news is that the XRP Ledger (XRPL), the public ledger on which XRP lives, is witnessing an influx of new addresses and total addresses interacting with the network.
According to data from analytics platform Santiment, both metrics are currently at their highest levels since March.
Santiment went on to explain that a rise in network activity can translate into positive price movement. Yet, caution is advised.
There is often a “FOMO effect” at the initial stages when the spike happens that causes a correction, like we are seeing. Now is the test to see if XRP’s activity maintains these levels.
Santiment Brad Garlinghouse On the Crypto Partisan Issue.
This week, Garlinghouse said he’s shocked that crypto has become a “partisan issue.” In other words, he’s criticised the politicisation of cryptocurrencies, questioning why innovation should be hindered by political division.
Why would we have a Republican vs. Democrat dynamic around innovation? We should want technology that reduces cost and improves efficiency.
Brad Garlinghouse Garlinghouse criticised Elizabeth Warren’s anti-crypto stance for political talking points. Warren is a renowned Democrat and an adverse anti-crypto figure in the US political landscape.
Related: Trump May Declare Bitcoin A US Strategic Reserve At 2024 Nashville Conference
Garlinghouse classified this dynamic as odd; Democrats being anti-crypto while Republicans —the conservatives— are now pro-crypto, especially after Donald Trump did a 180 on crypto (and has even sworn to bring all Bitcoin mining to the US).
