For the first time since 2018, the Ripple-backed cryptocurrency, XRP, has hit a market price of one dollar ($1). Moreover, the market cap of the cryptocurrency has increased to the fourth-largest on Coinmarketcap. Many analysts had predicted the breakout today, inclined Scott Melker and crypto derivatives trader Cantering Clark, who previously noted that XRP has all the technical components to surge in value. Ripple is now a $1-priced crypto.
According to the market report from Coinmarketcap, XRP cryptocurrency price hit a yearly high of $1.10 today, which hasn’t been recorded since March 2018. XRP gradually fell below $1 after reaching an all-time high (ATH) of $3.84 in January 2018. The new price today is certainly a milestone for many XRP holders.
At the time of writing, the cryptocurrency is trading at $1.01 on Coinmarketcap, which shows approximately a 40 percent increase over the last 24 hours. The market cap of the cryptocurrency has also increased to $46.8 billion, ranking Ripple as the fourth-largest digital currency, once again.
How XRP almost crashed in 2020
The XRP cryptocurrency was hit last year when the US Securities and Exchange Commission (SEC) announced a lawsuit against Ripple, claiming that XRP was an unregistered security. It caused many crypto exchanges to consider delisting the cryptocurrency to avoid legal issues with the regulator, should the law court rule in favor of the SEC.
As a result, the price of XRP started declining from $0.55 in December to $0.20, as most of the holders panic-sold their holdings.
SEC Used to Call XRP Digital Currency, Has to Explain in Court Why It Backs Off Now: Lawyer Jeremy Hogan
Meanwhile, Jeremy Hogan, partner at the Hogan & Hogan law firm, has taken to Twitter to say that, in 2016, the SEC referred to Ripple Labs in documents as a “digital currency company.”
Now, the SEC will have to clarify to the judge how it has transformed into a “digital security” company.
“The SEC agreed with FinCen on XRP status”
The lawyer says that the public document is dated 2016 and, back then, the US securities regulator considered Ripple-affiliated XRP a digital currency, thus agreeing with the FinCen verdict made in 2015.
This argument about FinCen is the one of the issues that Ripple has been using actively against the SEC in court.
This explanation will be part of the documents that the lawyers on both sides will be discussing in court today, Hogan said.