The XRP (CCC:XRP-USD) crypto is up about 15% today on news of an update in Ripple’s ongoing lawsuit with the U.S. Securities and Exchange Commission.
The rise in XRP comes amid a broader rally in cryptocurrencies. Bitcoin (CCC:BTC-USD) has rallied 10% over the weekend and is trading today above $42,700. XRP is jumping higher on reports that the documents the SEC had been reviewing as part of its lawsuit against Ripple don’t reveal anything negative and may not be relevant to the case.
What Happened With the XRP Crypto
According to reports, attorney Jeremy Hogan analyzed two exhibits related to the Ripple lawsuit and said he considers them weak evidence to support the SEC’s claim that Ripple illegally sold and marketed XRP as a security.
This news has investors optimistic that the SEC suit will end soon or be thrown out. The ongoing lawsuit has hung like a cloud over the XRP crypto and pushed its price lower. The coin is currently trading at 77 cents, which is 80% below its all-time high.
Why It Matters
The SEC suit against Ripple has hurt the price of the XRP cryptocurrency and continues to create an air of uncertainty around the coin. Any evidence that the lawsuit might not proceed or succeed is being cheered by investors and cryptocurrency bulls, who are concerned about the threat of increasing regulation and government oversight of the crypto sector.
While the lawsuit hasn’t yet been dismissed or otherwise resolved, investors are excited to hear any news that could potentially strengthen Ripple’s defense. The price of the XRP crypto has moved higher in recent months based on other news about the lawsuit.
What’s Next
XRP’s price is getting a nice bounce today along with the entire cryptocurrency market. Ethereum (CCC:ETH-USD), the second-largest cryptocurrency by market value, is up 3%. The news that appears to favor Ripple’s legal position vis-à-vis the SEC is helping to boost the price of XRP.
However, until the lawsuit is concluded, it will continue to weigh on Ripple and the price of XRP.
On the date of publication, Joel Baglole did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
