Social media activity surrounding the $XRP token, one of the largest cryptocurrencies by market capitalization, has recently surged to a 3-month high at a time in which Ripple, a fintech firm and major player in the XRP ecosystem, and the U.S. Securities and Exchange Commission (SEC) are seeking a ruling in their long-running legal battle through a so-called summary judgment.
According to data shared by cryptocurrency social intelligence platform LunarCrush, XRP has recently seen its social activity rise nearly 10% in a single day, to reach a 3-month high of 1.95 billion engagements to content shared by 9,420 social contributors.
As CryptoGlobe reported, the price of XRP, the native token of the XRP Ledger, has surged after reports revealed that both Ripple and the SEC were looking for a so-called summary judgment.
According to recently filed court documents, neither party wants the legal action to continue to a full trial. The SEC sued Ripple and two of its executives in 2020, alleging they sold unregistered securities when they issued $1.3 billion worth of XRP tokens. Ripple denies XRP is a security.
Earlier this year, Ripple’s CEO Brad Garlinghouse noted that he believed the company would prevail in its legal battle against the regulator.
Ripple settling the lawsuit could lead to an XRP supply shock, which presumably would lead to a price surge as demand would remain the same, while supply plunged. That’s according to legal expert and XRP supporter Jeremy Hogan, who has been following the case.
A pseudonymous cryptocurrency analyst, DonAlt, has also predicted that the price of XRP is going to “giga moon basically” and a “lot of people will buy back in” once the long-running legal battle is over.
At the time of writing, XRP is trading at $0.47 after moving up over 45% over the last 30 days, partly on rumors suggesting the legal battle is set to end in the near future.
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