• Ripple’s XRP investor sentiment has switched to positive for the first time since the start of 2021, with inflows of $300,000 being recorded in CoinShares’ most recent report on money movements in cryptocurrency-focused investment products.
• The value of XRP peaked at $3.84 in 2021 but has since fallen to $0.3938 due to recent market corrections.
• The US Securities and Exchange Commission (SEC) is suing Ripple for distributing unregistered securities using its XRP cryptocurrency, which Ripple denies by saying that XRP does not qualify as a security and does not pass the Howey Test.
Investor Sentiment Around XRP Switched to Positive
Ripple Investor Sentiment Around XRP switched to positive for the first time since year’s start as recorded by CoinShares‘ most recent report on money movements in cryptocurrency-focused investment products with inflows of $300,000. This was an unusual event after digital asset investment products outflows totaled US$32m last week which was the largest since late December 2022.
Value of XRP Peaked In 2021
The value of XRP peaked in 2021 at $3.84 but it has since fallen back to where it was prior to the January market highs, currently standing at $0.3938 showing no prospects of rising any time soon due to current cryptocurrency market drop and subsequent market corrections over the previous 30 days resulting in 4% decrease over 24 hours prior publication .
SEC Sued Ripple For Distributing Unregistered Securities
The US Securities and Exchange Commission (SEC) sued Ripple in 2020 on grounds that it had distributed $1.3 billion worth of unregistered securities using its XRP cryptocurrency. Ripple denied these claims by asserting that their coin did not qualify as a security nor did it pass the Howey Test according to SEC’s theorization on cryptocurrencies valuations .
Outflows From Investment Products
High withdrawals from digital asset investment products have occurred over last week totaling up to USD 32 million which is largest since late December 2022 while mid-way through last week outflows were much higher amounting USD 62 million however sentiment improved by Friday leading up into inflows of USD 30 million hence concluding week with net inflow .
Conclusion
Overall, this sudden shift from negative investor sentiment towards positive shows hope for further growth and acceptance within crypto industry especially when taking into consideration current market conditions related to cryptocurrency prices yet investors were still willing enough partake into such investments despite volatility associated with them .
