Throughout 2024, Ripple’s XRP has lagged behind its top crypto rivals, registering around 4.5% year-to-date returns and failing to revisit its peak value set in January 2018. Contrarily, the wider cryptocurrency market has grown considerably, gaining circa 55% during the same timeframe.

The key reason behind XRP’s underperformance is the U.S. Securities and Exchange Commission’s (SEC) pending case against Ripple. A court ruled last year that Ripple’s XRP sales to institutional customers constituted unlawful securities sales. The regulator has now requested a federal judge to impose a $2 billion penalty on the fintech startup.

However, according to Evai CEO Matthew Dixon, the tides could soon turn in favor of XRP. Dixon suggested that the forthcoming consumer price index (CPI) report for April, which is set to be released on May 15, could awaken the “sleeping giant” and drive the XRP price to new heights. He anticipates a weeker-than-expected CPI index to light a fire under the XRP bulls.

Economists estimate that the CPI rose 0.3% month-on-month in April ahead of the Wednesday report, which would cast doubt on hopes for a Federal Reserve rate cut this summer. Nevertheless, lower-than-expected numbers would benefit risk assets such as major altcoins like XRP.

XRP Set For Rapid Rally To New Highs?

Despite facing extreme sell-pressure over the last five years, XRP remains in a consolidation phase, with the XRPArmy attentively looking out for a huge breakout that could propel its price past the magical $5 milestone, setting a new record high.

Ripple and the SEC are currently in the lawsuit’s remedies stage. Ripple’s chief legal officer Stuart Alderoty recently indicated that the nearly 4-year long legal battle is almost coming to an end, as ZyCrypto reported.

As the crypto community eagerly awaits the outcome of the long-drawn-out suit, experts expect a final judgment around September. Meanwhile, Ripple is primed to launch XRPL enterprise solutions to the Japanese market via a strategic partnership with Tokyo-based consulting company HashKey DX.

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Filed under: Bitcoin - @ May 10, 2024 8:21 pm