The reasons for the sharp growth of the XRP cryptocurrency by 20% have become known

The value of the XRP cryptocurrency has increased by 20% after the court ruling in the Ripple Labs v. SEC case. The court ordered Ripple Labs to pay a fine of $ 125 million.

This decision brought the end of a three-year legal battle between Ripple Labs and the US Securities and Exchange Commission (SEC). The lawsuit was first filed in December 2020.

The price of XRP rose to $ 0.63 after the news of the court decision, which helped to recover most of the losses that the cryptocurrency suffered during the recent market downturn. At the time of publication, XRP is worth $ 0.61.

Ripple Labs CEO Brad Garlinghouse called the decision a victory for the company and the cryptocurrency industry as a whole. Ripple Labs co-founder Chris Larsen added that this step ends the SEC’s campaign against the XRP community.

However, analysts also drew attention to the movement of the XRP price after the court decision. Cryptocurrency lawyer Fred Rispoli noted that the company has more than compensated for the fine by increasing the XRP price in the last few minutes.

After the price increase, the company liquidated short positions worth more than $ 5.4 million. If the XRP price reaches $ 0.65, another $ 20 million in short positions may be liquidated.