Major cryptocurrencies are suffering heavy losses once again as the global crypto market cap slumped another 1% over the past day.
While Bitcoin is on the cusp of falling below the $29,000 price level, altcoins are bearing the brunt of yesterday’s bearish movement.
XRP plummeted another 6% over the past 24 hours, resulting in a cumulative decline of 13% in the last week.
The threat of an SEC appeal against Ripple’s recent victory has shaken investor confidence in XRP, with the deteriorating macroeconomic outlook making matters worse.
Some investors are now changing course towards new crypto tokens that can outperform the wider bearish market. XRP20 is one such token that is seeing surging demand as it closes in on the $700K milestone in the presale in under a week since launching.
XRP Continues To Plunge As Hawkish SEC Tests Investor Resilience
The XRP price appears to be in a free fall after correcting another 6% over the past day. The token is now down 20% over the past 14 days to trade at just $0.62, with experts expecting a further decline.
XRP analyst @KingDoggoXRP expects that the token will retest the $0.55 price level before seeing any potential upside while another popular crypto trader Lewis Jackson believes that XRP is still too expensive to buy. Expert trader @xrp_prime also believes that the token has no real support before hitting the 50-cent range.
Ripple’s watershed victory over the SEC catapulted XRP to trade near the $0.9 mark. Judge Analisa Torres ruled that Ripple’s programmatic sale of XRP tokens to retail investors did not violate the Securities Act.
However, the market is now factoring in the high likelihood of an SEC appeal against Ripple’s win, especially after SDNY District Judge Jed Rakoff rejected Torres’ analysis. A successful SEC appeal would not just be catastrophic for XRP’s growth prospects but for the entire crypto industry.
Bitcoin’s strong correlation with the broader equities market is also hurting any chances for a potential bull rally in altcoins like XRP. The crypto market outlook became increasingly bearish as the S&P 500 and NASDAQ-100 both fell in yesterday’s trading session.
All eyes now turn to the CPI inflation report set to be released on the 10th of August. As the Federal Reserve mulls over its monetary policy going forwards, this inflation data will play a decisive role in determining whether the central bank proceeds with another interest rate hike or not.
Furthermore, investors are also observing the legal battle between Coinbase and the SEC. Paul Grewal, the Chief Legal Officer at Coinbase, revealed that the crypto exchange filed a brief to dismiss the SEC’s case against it.
After Ripple’s recent victory, a second win for the crypto industry against the SEC will likely be incredibly bullish for the market.
Until then, investors are dumping their XRP holdings, expecting further selling pressure on the token.
XRP20 Gathering Traction As Presale Nears $700K – Could it be an Alternative to XRP?
In light of Ripple’s latest struggles, investors are now looking at alternate opportunities for superior returns, with the new XRP20 token stealing the spotlight.
The token has already raised $682K in the presale in just 4 days and is well on its way to hitting the $700K mark.
Investors who missed out on Ripple’s 22,000% bull rally are especially gravitating towards XRP20 as the token is priced at just $0.000092, which is 30 times cheaper than XRP at its all-time low.
The token also offers an excellent opportunity for retail investors to generate attractive passive income through its on-chain stake-to-earn mechanism, a feature missing from the original XRP. Its ERC-20 design is an added plus, as it offers seamless compatibility with existing Ethereum platforms and wallets.
Furthermore, the project is using an efficient burn mechanism to create a deflationary token supply and drive up its value. 0.1% of every XRP20 transaction will be sent to a burn address, and an additional 10% off the token supply has been allocated to be burned.
The recent hype surrounding Ripple’s victory against the SEC has set the stage for a strong XRP20 bullish surge. After all, the Meta Version 2.0 theme has become the new trend in the crypto market, with tokens like Pepe 2.0 displaying 1000% rallies.
The XRP20 presale has a hard cap of $3,650,000.