By Solomon Odunayo
Earlier today, CoinMarketCap’s data showed that the embattled Ripple’s digital token XRP has managed to break above the $0.30 resistance level.
XRP is desperately trying to stay above the $0.30 price level, after surging to $0.31 a couple of hours ago. Here are the reasons why the price of XRP surged from the $0.28 area.
Read Also: SEC Commissioner Hester Peirce Breaks Silence over SEC’s Lawsuit against Ripple
Ripple Responds to SEC’s Lawsuit
On Friday 29th January 2021, Ripple, the cross-border payment firm, filed a preliminary legal response to the United States Securities and Exchange Commission (SEC) that initiated legal action against it on 21st December 2020.
Ripple’s general counsel, Stuart Alderoty, announced the news in Ripple’s latest blog post and summarized the response for the audience.
He reminded the SEC that XRP is a virtual currency and not a security (despite the regulator’s claim that XRP is an unregistered security) and thus the SEC is not in the position to deal with it. Ripple has never had an ICO and that holding XRP does not imply that holders are entitled to any part of Ripple’s revenue and profits.
Other SEC’s claims against XRP and Ripple were also mentioned and discussed.
Read Also: Ripple Slammed With another Lawsuit over Securities Violation
Dogecoin (DOGE) Price Pump fueled the XRP growth
Prominent analyst Luke Martin believes that when DOGE began declining after a massive rise yesterday, funds started flowing into XRP from that meme-coin.
Yesterday, Dogecoin (DOGE) managed to grab the top-10 spot on CoinMarketCap twice but then it rolled back both times. At the time of writing, DOGE is holding at the level XRP strives to reach – $0.30 and shows a rise of 273 percent over the past twenty-four hours.
At press time, DOGE is ranked 14 on CoinMarketCap. DOGE was pumped by Redditors on r/WallStreetBets, who also bought GME and AMA shares, pushing the price up and a tweet of MSB Chairman Twitter user as well.
Besides, major XRP community members, seeing that the tweet pushed DOGE up and the DOGE community became more active, started calling to the XRP army to begin pumping XRP on social media.
Read Also: Singaporean Crypto Exchange KuCoin Adds XRP Pair despite Ripple-SEC Lawsuit
Bitcoin (BTC) Price Surge Prompted by Elon Musk
The rise of altcoins is often powered by the spike in the price of Bitcoin (BTC). On Friday, BTC soared from the $32,250 level to $38,092 within around six hours after the Tesla CEO and the world’s wealthiest man Elon Musk tagged Bitcoin in his Twitter bio section.
The community and the market took it as assign that Musk had finally surrendered to Bitcoin and embraced it. Musk’s tweet that many believe to be about Bitcoin (“in retrospect, it was inevitable”) was even recorded on the Bitcoin blockchain.