As Ethereum Continues to Drop XRP Continues to Soar

ETH has dropped a total of 19% since the merge while XRP has ballooned.

Bitcoin and Ethereum have continued on a downward spiral as both dropped in double digit percentages. This followed news that the Federal Reserve of the United States was planning on hiking interest rates by another 7.5 basis points in another attempt to stem inflation, this is after another attempt of the same amount that was touted as the steepest of its kind from the central bank since 1994 back in June. July saw the Fed call for another 0.75% hike as well, and while Bitcoin and Ethereum did see a price jump due to that announcement the trend has still been negative for the most part.

This market makes it more expensive to borrow and investors may want to get rid of riskier assets. The past week has seen Bitcoin fall .53% trading currently at $19,086 while Ethereum sank to $1,328 a drop of 7.5%. The top tokens were not the only ones to lose however as COSMOS lost 12%, Ethereum Classic dropped 15%, and NEAR tumbled 10.5%

As  these tokens dropped one of the biggest gains came from XRP which blew up 44% to $0.5232, this came after news that both Ripple and SEC have filed for summary judgement in the $1.3 billion lawsuit as both wish to dismiss the lawsuit before the trial. 

In an unsurprising turn of events profits were made when they were available as the merge was a definitive “buy the rumor sell the news” situation and rates of Ethereum have since reverted to neutral after an all-time low of -1,200% in the lead up to the merge,Ethereum miners were cashing out in the time up to the merge. 

Another lawsuit filed recently by the SEC against a crypto influencer  has brought pain to the Ethereum community as the federal agency claimed that all of Ethereum belongs under SEC jurisdiction. This stems from a statement in the 69th paragraph of the lawsuit that stated Ethereum is mostly clustered in the United States therefore making all transactions take place in the U.S.

Gary Gensler has been very silent on Ethereum for a while now but that may be due to the fact he may see it as a U.S security already. Gensler has stated proof-of-stake currencies could be classified as securities due to the fact that holders are allowed to passively earn returns through staking.

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