NewsBTC
No Result
View All Result
  • Cryptocurrency News
    • Bitcoin News (BTC)
    • Ethereum News (ETH)
    • Ripple News (XRP)
    • Shiba Inu News (SHIB)
    • Cardano News (ADA)
    • Dogecoin News (DOGE)
    • Solana News (SOL)
    • Litecoin News (LTC)
    • Avalanche News (AVAX)
    • Polygon News (MATIC)
  • Crypto Prices
    • Binance Coin (BNB) Price
    • Bitcoin (BTC) Price
    • Cardano (ADA) Price
    • Chainlink (LINK) Price
    • Dogecoin (DOGE) Price
    • Ethereum (ETH) Price
    • Litecoin (LTC) Price
    • Polkadot (DOT) Price
  • Crypto Resources & Directory
  • All Crypto
  • Play GamesTry
  • CasinosTry
Breaking News: Bitcoin Hits ATH Of $112,000, Expert Predicts Rally Is Just Beginning
  • Cryptocurrency News
    • Bitcoin News (BTC)
    • Ethereum News (ETH)
    • Ripple News (XRP)
    • Shiba Inu News (SHIB)
    • Cardano News (ADA)
    • Dogecoin News (DOGE)
    • Solana News (SOL)
    • Litecoin News (LTC)
    • Avalanche News (AVAX)
    • Polygon News (MATIC)
  • Crypto Prices
    • Binance Coin (BNB) Price
    • Bitcoin (BTC) Price
    • Cardano (ADA) Price
    • Chainlink (LINK) Price
    • Dogecoin (DOGE) Price
    • Ethereum (ETH) Price
    • Litecoin (LTC) Price
    • Polkadot (DOT) Price
  • Crypto Resources & Directory
  • All Crypto
  • Play GamesTry
  • CasinosTry
Bitcoin News
No Result
View All Result
Breaking News: Bitcoin Hits ATH Of $112,000, Expert Predicts Rally Is Just Beginning

XRP Risks Plunge as New Lawsuit, Massive Sell-off Hurt Market Sentiment

Yashu Gola
Yashu Gola
5 years ago
2 mins read
ripple, xrp, cryptocurrency, bitcoin

Reason to trust

Strict editorial policy that focuses on accuracy, relevance, and impartiality
Created by industry experts and meticulously reviewed
The highest standards in reporting and publishing
How Our News is Made

Strict editorial policy that focuses on accuracy, relevance, and impartiality

Ad discliamer

Morbi pretium leo et nisl aliquam mollis. Quisque arcu lorem, ultricies quis pellentesque nec, ullamcorper eu odio.

  • Ripple’s native token XRP is facing serious risks of plunging as a string of negative fundamentals attacks buying sentiment.
  • A Puerto Rico-based firm has filed a lawsuit against Ripple and its CEO, alleging security frauds. Meanwhile, disgruntled co-founder Jed McCaleb is reportedly dumping 400,000 XRP units every month.
  • The XRP/USD exchange rate is holding its yearly gains for now.

XRP, the native cryptocurrency of the fourth-largest blockchain project, Ripple, is facing a difficult task as it ventures further into an economically-battered 2020.

The challenge is to attract new buyers and keep hold onto the existing ones against the risks of capital outflow. XRP is standing in the middle of three very pessimistic market events, all adding massive selling pressure on its market.

The Bearish Trio

It begins with a little-known Puerto Rico firm, dubbed as Bitcoin Manipulation Abatement, LLC, that has sued Ripple and its chief executive Brad Garlinghouse over the unlawful sale of XRP worth $1.1 billion. The lawsuit comes atop another class action from XRP investors, claiming damages over Ripple’s failure to register XRP as security with the U.S. regulator.

Adding its 120-degree to the XRP’s ‘Troubling Pie’ is Jed McCaleb, the disgruntled founder of Ripple Labs, the San Francisco-based firm behind the creation of the Ripple blockchain.

McCaleb, who now runs a competing blockchain project, Stellar, dumped over 54 million XRP tokens (~$11.8 million) in April 2020, according to on-chain analysis. The study also noted that McCaleb sells about 400,000 XRP tokens every month. He has been on it since 2014.

ripple, xrp, cryptocurrency, bitcoin
Source: Whale Alert

The last and the third problem is Ripple Labs itself. The firm paid $16.6 million worth of XRP to its partner MoneyGram to use its RippleNet solution. MoneyGram does not hold those tokens but sell them right away as a measure to protect them from its price volatility.

Ripple Labs has more partners like MoneyGram, and each one of them receives the Ripple tokens to use its payment solutions.

That XRP Downside Risk

The institutional sell-offs in the XRP market has already scared small investors away, according to the firm’s very-own first-quarter financial report. The filing noted that Ripple experienced an 87 percent drop in XRP sales. It sold $1.75 million worth of XRP in Q1/2020, which is way down than its Q4/2019’s deals worth $13.08 million.

ripple, xrp, cryptocurrency, bitcoin
The Ripple token sales go down | Source: Ripple, Messari

The reduced sale record in Q1/2020 and its emotional impact on Q2/2020 failed to impact Ripple’s spot market. Barring the Coronavirus-induced sell-off on March 12 that practically affected every global asset, the XRP/USD pair managed to post gains on a year-to-date timeframe.

Data on Messari showed that Ripple was trading 12.08 percent higher YTD-wise. Nevertheless, its gains were lesser than the ones its rivals logged. Bitcoin, for instance, was up 22 percent while Chainlink etched 105 percent returns for its investors.

Fundamentally, Ripple could suffer from a lack of interest among buyers heading into Q2. Meanwhile, a drop in the bitcoin price could bring some short-term relief to the token.

Photo by Bill Oxford on Unsplash

Tweet123Share196ShareSend
Yashu Gola
Yashu Gola

Yashu Gola

Yashu Gola is a Mumbai-based finance journalist. He is profoundly active in the bitcoin space since 2014 – and has contributed to several cryptocurrency media outlets, including NewsBTC, FxDailyReport, Bitcoinist, and CCN.

Read more

Academically, Yashu holds a bachelor's in information technology, with majors in data structures and C++ programming language. He has also won the 'Atulya Award' for his efforts towards raising $100,000 for an India-based farming project.

Close

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Disclaimer: The information found on NewsBTC is for educational purposes only. It does not represent the opinions of NewsBTC on whether to buy, sell or hold any investments and naturally investing carries risks. You are advised to conduct your own research before making any investment decisions. Use information provided on this website entirely at your own risk.

Related News

XRP

Don’t Hold Back—Expert Recommends Full Stake In XRP

A top crypto analyst is making waves with a strong call: Going all-in on XRP should be a priority. That’s...

Christian Encila 8 hours ago
Bitcoin

Bitcoin Breaks $118,000—But Liquidity Still Thin, Glassnode Warns

Bitcoin has set a new all-time high (ATH) above $118,000, but on-chain data from Glassnode shows BTC volume remains low...

Keshav Verma 9 hours ago
XRP

Pundit Reveals The Two Things That Will Drive XRP Price To All-Time Highs

The XRP price could be preparing for a historic breakout, as a prominent crypto pundit has pinpointed two key catalysts...

Scott Matherson 12 hours ago
Load More

Reason to trust

Strict editorial policy that focuses on accuracy, relevance, and impartiality
Created by industry experts and meticulously reviewed
The highest standards in reporting and publishing
How Our News is Made

Strict editorial policy that focuses on accuracy, relevance, and impartiality

Ad discliamer

Morbi pretium leo et nisl aliquam mollis. Quisque arcu lorem, ultricies quis pellentesque nec, ullamcorper eu odio.

Related News

Bitcoin Breaks Records: What Miners and Leverage Traders Are Doing Behind the Scenes

Bitcoin Breaks Records: What Miners and Leverage Traders Are Doing Behind the Scenes

Samuel Edyme 4 hours ago

No Mania Yet: Bitcoin ATH Lacks Hype, Suggesting Further Upside Potential

Ash Tiwari 5 hours ago
Bitcoin price

Bitcoin Soars Past $118,800—Breakout Or Brutal Bull Trap?

Jake Simmons 6 hours ago

Premium Sponsors

Press Releases

  • 4 kryptomeny, vďaka ktorým toto leto zmeníš 1000 € na...

    10 hours ago
  • 3 altcoiny do obserwacji w drugim tygodniu lipca 2025 roku

    3 altcoiny do obserwacji w drugim tygodniu lipca 2025 roku

    11 hours ago
  • 4 kryptowaluty, dzięki którym tego lata zamienisz 1000 zł w miliony

    4 kryptowaluty, dzięki którym tego lata zamienisz 1000...

    11 hours ago
  • 4 criptomonede cu care poți transforma 1000 de lei în milioane vara aceasta

    4 criptomonede cu care poți transforma 1000 de lei în...

    14 hours ago
  • 3 altcoinuri de urmărit în a doua săptămână a lunii iulie 2025

    3 altcoinuri de urmărit în a doua săptămână a lunii...

    15 hours ago

Newsletter

Be the first to get the latest important crypto news & events to your inbox.

  • This field is for validation purposes and should be left unchanged.

About Us

NewsBTC is a cryptocurrency news service that covers bitcoin news today, technical analysis & forecasts for bitcoin price and other altcoins. Here at NewsBTC, we are dedicated to enlightening everyone about bitcoin and other cryptocurrencies.

We cover BTC news related to bitcoin exchanges, bitcoin mining and price forecasts for various cryptocurrencies.

Disclaimer: The information found on NewsBTC is for educational purposes only. It does not represent the opinions of NewsBTC on whether to buy, sell or hold any investments and naturally investing carries risks. You are advised to conduct your own research before making any investment decisions. Use information provided on this website entirely at your own risk.

Company

  • About Us
  • Advertising
  • Contact Us
  • Privacy Center

Social

© 2025 NewsBTC. All Rights Reserved.

  • Cryptocurrency News
    • Bitcoin News (BTC)
    • Ethereum News (ETH)
    • Ripple News (XRP)
    • Shiba Inu News (SHIB)
    • Cardano News (ADA)
    • Dogecoin News (DOGE)
    • Solana News (SOL)
    • Litecoin News (LTC)
    • Avalanche News (AVAX)
    • Polygon News (MATIC)
  • Crypto Prices
    • Binance Coin (BNB) Price
    • Bitcoin (BTC) Price
    • Cardano (ADA) Price
    • Chainlink (LINK) Price
    • Dogecoin (DOGE) Price
    • Ethereum (ETH) Price
    • Litecoin (LTC) Price
    • Polkadot (DOT) Price
  • Crypto Resources & Directory
  • All Crypto
  • Play Games
  • Casinos
Advertise

© 2025 NewsBTC. All Rights Reserved.

This website uses cookies. By continuing to use this website you are giving consent to cookies being used. Visit our Privacy Center or Cookie Policy.