XRP hits highest level since lawsuit — Redditers led the rally

CEO of Ripple Labs Brad Garlinghouse
CEO of Ripple Labs Brad Garlinghouse

XRP jumped 56% to reach $0.50944 — hitting its highest level since December 22. The price surge followed a campaign by Redditers to buy and hold the digital token, leading to push XRP to its highest level after one month of price plummets.

The current price surge is XRP’s biggest single-day gain in three years. Analysts believe that it will keep going up. In an interview with CoinDesk, Alex Melikhov, CEO of Equilibrium said: “XRP’s next target is $0.80, which, if breached, would allow a rally to $1 and higher.” 

In December 2020, XRP’s price saw an immense decrease, after the Securities and Exchange Commission filed a lawsuit against Ripple’s CEO. The SEC alleged Ripple’s labs two executives of illegally selling the cryptocurrency to fund Ripple’s operations. Consequently, XRP lost more than 70% of its value following the news.

However, to bring the token back to the trading table, Redditers launched a campaign similar to that of Gamestop (NASDAQ: GME) pushing the digital token’s price from $0.28 to $0.51 per XRP. Redditers made a Telegram group called Buy & Hold XRP on Saturday. The Telegram group (t.me/pumpxrpofficial) had over 200,000 members in 24 hours after its creation. 

Did Redditers really move the market?

Nevertheless, some analysts believe that the Telegram group wasn’t the only reason behind the price rise. In a tweet on Saturday, cryptocurrency analyst CredbilityCrypto said: “Popular YouTuber @KEEMSTAR (5.8M subs) with 2.8M Twitter followers dropped a quarter mill on $XRP at .27 and clearly garnered the attention of millions of his followers and price doesn’t budge but you think a telegram group with 60k members is what caused the pump today.”