Love it or loathe it, XRP has solidified its position as a major player in the cryptocurrency market, holding the fifth rank with a market capitalization of $29.6 billion. Its presence among the top cryptocurrencies has been consistent for over a decade.
But what’s behind XRP’s stability? And why could it be a good bet for long-term investors?
All these answers and more – right here! Read on.
Slow and Steady Wins the Race
While it may not have experienced the same rapid surges as cryptocurrencies like Ethereum and Solana, which have propelled them to record levels, the consistent lack of significant price swings for XRP may be a positive sign for the days ahead.
Unlike some other cryptocurrencies that have been surging to new heights with enthusiastic momentum, XRP seems to be charting a more tranquil path on the daily price chart. It’s not riding the same wave of bullishness that has carried coins like Ethereum and Solana to meteoric highs. At first glance, this might be seen as a lack of investor interest.
XRP’s Stability
Historically, assets that skyrocketed during market surges often took a big hit when the market corrected itself. Cryptocurrencies like Ethereum and Solana, which witnessed rapid rises, could potentially lose significant value if the broader market experiences a correction.
In contrast, XRP, even if it’s been relatively quiet lately, has maintained stability with fewer ups and downs. Its calm behavior could indeed be a positive attribute. In the event of a market correction, XRP might manage the situation better, having not gotten caught up in the super-fast price hikes that some other cryptocurrencies experienced.
Read More: XRP Price Breaks Out Of Its Key Resistance! Is The $0.64 Next Stop For Ripple?
Follow in the footsteps of experts
Lower price fluctuations often signify the presence of seasoned investors. When prices surge rapidly, it typically attracts short-term traders looking for quick profits.
On the other hand, assets known for their stability, like XRP, generally attract long-term investors. This preference may contribute to a smoother and more predictable growth trajectory for XRP in the coming days.
Challenging the SEC
Furthermore, Commissioner Hester M. Peirce, affectionately known as “Crypto Mom,” disagrees with the SEC’s enforcement action on LBRY. She expresses concern about how the law is applied to cryptocurrencies, particularly as they pursued LBRY, a genuine project.
Peirce also questions the SEC’s initial demand for a $44 million penalty, which was eventually reduced to $111,614. This case underscores the challenges of regulating the crypto space. Ripple’s lawyer, Stuart Alderoty, echoes Peirce’s sentiments, believing it’s unjust to target non-fraudulent cases and suggesting that more vigorous objections may be necessary.
He mentions “amicus briefs,” which are akin to legal documents from concerned parties in a case.
Also Read: November 8-9 Big Date for Ripple, As IPO on the Horizon?
This news is republished from another source.
