Crypto analytics platform Santiment paves the way for XRP after a court ruled that Ripple Labs’ automated, open-market XRP sales did not constitute a sale of securities.
In a new blog post from Santiment Insights, the company’s director of marketing, Brian Quinlivan, say that XRP, which rose more than 70% after the court ruling to a 15-month high, has more upside potential amid renewed interest.
“Social Dominance, which measures the percentage of discussions related to an asset compared to all of the top 100 market cap assets, indicates that XRP has risen to 7.4% of ALL discussions. This is the highest level of discussion related to XRP since January 2021.
With such a high level of audience recognition and FOMO (fear of missing out), there will inevitably be a cooling off period. But once traders stop paying attention and shift their focus elsewhere, chances are there will be a second pump wave.”
Quinlivan also says XRP whale and shark activity suggests bullishness for the fourth-largest crypto asset by market cap.
“Whale trades on the XRP network have also reached their 2023 high, and by a wide margin. Today there have been 637 (and counting) transactions worth $100,000 or more. It is clear that the pump is fueled by these large transactions…
If major whale and shark addresses increase their supply to this pump, then it foreshadows that the pump may just be starting, and it is a sign of good things to come.”
However, Santiment’s marketing director warns that the XRP rally following the court’s favorable ruling could be an “overreaction”.
“Any major positive news, like what we’ve seen with the XRP community today, you should take the initial reaction to it with a grain of salt. Just as traders overreacted last year to the initial news of the U.S. Securities and Exchange Commission lawsuit, it won’t be surprising if this pump also overreacts a bit.”
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Image generated: Midway through the journey