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Ripple’s XRP has clearly dodged the broader crypto market today shooting up a massive 50% in a single day, and nearly 100% in the last 48 hours. At press time, XRP is trading at a price of $0.65 with a market cap of $30.2 billion. This is for the first time that XRP is trading at these levels since SEC’s lawsuit in December 2020.
Market analysts suggest that the recent XRP price rally is nothing but a classic case of a crypto pump similar to the GameStop (NYSE: GME) price rally last week on Wall Street.
?? Is $XRP becoming the #crypto version of $GME and $AMC after a massive pump over the weekend? For an asset that was presumed to be on the decline since their SEC lawsuit & @coinbase delisting news, this MASSIVE pump comes after rumors of pump groups planned to do
?? (Cont'd) pic.twitter.com/JcYUq5zsNG
— Santiment (@santimentfeed) February 1, 2021
Ripple’s XRP is the second cryptocurrency to undergo this pump within a week’s time. Last week, DogeCoin had gone through a similar move after the Reddit community ‘SatoshiStreetBets’ pumped meme coin DOGE by more than 800% in a single day. This led DOGE to enter the ranks of top-ten cryptocurrencies even toppling Litecoin (LTC) for a very short period of time.
DOGE price had hit a high of $0.074 last Friday and corrected majorly from those levels. Interestingly, along with XRP, DOGE has also surged today more than 45%. At press time, DOGE is 45% up trading at $0.040 with a market cap of $5.1 billion. As the Forbes publication reports:
Dogecoin and XRP have surged this week as retail traders organized via Reddit’s WallStreetBets forum and groups on Telegram and Discord have colluded to “pump and dump” the digital tokens. Members of one Telegram group that has over 100,000 people in it have named XRP as a cryptocurrency to buy. “Focus on XRP,” wrote one Telegram group member. “Please buy and hold.”
After a long-running battle with hedge funds, traders have shifted their attention to crypto.
Ripple Files A Strong Response to the SEC
Last week, Ripple filed a strong response to the SEC lawsuit stating that the regulator is not willing to understand the utility of the XRP crypto. It added that the “functionality and liquidity” are completely incompatible with the securities regulations.
It’s going to be a tough battle for Ripple to deal with the topmost securities regulator of the United States. It remains to be seen if Ripple’s XRP can sustain this move ahead. However, as per the current surge, XRP can test levels between $0.75-$1.0.