The Ripple price (XRP/USD) has suffered significant losses as a result of a strong downtrend that developed in yesterday’s afternoon trading.
The third-largest cryptocurrency on the market had some success in yesterday’s morning and early afternoon trading, with its price holding above the $0.49 mark. However, the digital currency experienced a major downswing in the latter part of the session, falling to an intraday low of $0.472. The coin eventually finished the day at $0.481, thanks to a small uptick that occurred just before the end of the session.
However, this proved to be only a brief respite for XRP, as the token resumed its decline shortly after the start of today’s trading. The digital currency fell to an intraday low of $0.462, which was its lowest price level in for days, according to data from cryptocurrency tracker Coinmarketcap. The coin has managed to recover some of its losses and is currently hovering around $0.47.
In other XRP news, Ripple, the San Francisco-based company that developed the token, has been hit with another class-action lawsuit claiming that XRP is a security, industry website Coindesk has reported. The lawsuit, filed by California resident David Oconer, lists Ripple, its licensed money services business XRP II, Ripple chief executive Brad Garlinghouse and 25 unnamed persons affiliated with the firms as defendants. It claims that “created the XRP token and then used sales of the tokens in order to fund its operations and the development of the XRP ecosystem”.
The suit also claims:
“Here, the XRP offered and sold by the defendants had all the traditional hallmarks of a security, yet defendants failed to register them as such. The purchase of XRP constitutes an investment contract, as XRP purchasers, including plaintiff, provided consideration (in the form of fiat, such as U.S. dollars, or other cryptocurrencies) in exchange for XRP. XRP purchasers reasonably expected to derive profits from their ownership of XRP, and defendants themselves have frequently highlighted this profit motive.”
In today’s trading, the Ripple price stood at $0.468, as of 11:45 BST. The digital coin has lost 4.4% of its value in the past 24 hours.