NounsDAO on the Brink of Treasury Division Split Amidst 'Rage Quit' Uprising by NFT Holders

SEC's Response to Challenge Groundbreaking XRP Ruling

U.S. Fed's Vice Chair Barr Suggests CBDC Decision Remains a ‘Long Way’

Ripple's XRP has emerged as a top performer among cryptocurrencies on Tuesday, as the initial market-wide rally sparked by the lawsuit ruling last Thursday appears to have lost momentum.

In the past 24 hours, the native token of the Ripple payment system emerged as the top performer among the leading 25 cryptocurrencies, experiencing a notable gain of 3.6%. As a result, XRP reclaimed its position as the fourth largest digital asset in terms of market value, surpassing Binance's troubled BNB token.

Bitcoin (BTC) and ether (ETH), the top two cryptocurrencies in terms of market capitalization, have both declined since last Thursday and are currently trading below their significant price thresholds of $30,000 and $1,900, respectively.

“The Ripple vs. SEC lawsuit did not generate a broader lasting rally in crypto,” David Lawant, head of research at institutional crypto exchange FalconX.

Despite experiencing a partial retracement from its gains on Thursday, XRP still maintained an overall increase of approximately 60% following the ruling. Conversely, the CoinDesk Crypto Market Index (CMI), which monitors the performance of the wider digital asset market, surrendered its entire Thursday progress, declining by 0.5% during the same period.

Alternative cryptocurrencies like Polygon's MATIC, Solana's SOL, and Cardano's ADA, which experienced significant price surges last Thursday, have now completely retraced back to their pre-XRP ruling levels. MATIC and SOL have both declined by 5% over the course of the week, while ADA has dropped by 2%.

Although the peak of the XRP buying frenzy may have subsided, Lawant suggests that the inclusion of the token in digital asset funds could potentially generate buying pressure and contribute to its price increase.

“Index funds are one potential source of additional institutional flow I’m still watching,” he said.

“XRP has a market capitalization of more than 3.5x of ADA and SOL, typically the largest constituents outside of BTC and ETH, with a weight of little over 1%,” said Lawant. “If XRP is included in the underlying indexes, the asset could represent 4-5% of the composition of the top broad crypto indexes.”