Market situation:
In the chart, we see a significant decrease in reserves #XRP🚀 on exchanges. This indicates that large holders are withdrawing their assets from exchanges, which often indicates a decrease in supply and possible preparation for long-term storage or risk reduction in volatility conditions. Such behavior is usually associated with expectations of significant events that can affect the price of the asset.
Legal aspect:
A federal judge recently ruled that Ripple Labs must pay the Securities and Exchange Commission (SEC) a $125 million fine. The ruling follows a lengthy legal battle that began in December 2020. The SEC initially sought a $2 billion fine, but the judge lowered that amount, which many in the industry see as a victory for Ripple.
Technical perspectives:
RippleX, the blockchain division of Ripple, has announced that it will restart the XRP Ledger (XRPL) testnet on August 19. The upgrade is aimed at increasing network stability and minimizing disruptions. The restart is also necessary to prepare the network to host a new trading platform called Sologenic, which will offer users the ability to trade a wide range of assets, including cryptocurrencies, stablecoins, and tokenized versions of traditional assets.
Conclusion:
With the legal victory and technical updates, as well as a significant reduction in XRP reserves on exchanges, we can expect Ripple to continue to strengthen its position and demand for XRP to increase. However, the likelihood of market volatility remains high and traders should closely monitor the situation, especially given the potential for price fluctuations associated with large-volume sell-offs.
