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- With its perhaps revolutionary clauses, the FIT21 bill may have an effect on the Ripple v. SEC lawsuit.
- Recent whale activity is concerning, even with Ripple’s good news.
The Financial Innovation and Technology for the 21st Century (FIT21) Crypto Bill was passed by the US House of Representatives a short while ago, which delighted the cryptocurrency world. For the Ripple community, this was especially noteworthy because an XRP whale promptly released a sizable sum of XRP to centralized exchanges (CEXs).
The US house approved FIT21. It's crazy to think that a "pro-crypto" bill like this would even have made it to the house floor, let alone passing.
Congrats to the pro-crypto "army". You did the impossible. Bring change to Washington đź‘Ź pic.twitter.com/hFtoTWRDoo
— Coin Bureau (@coinbureau) May 23, 2024
Framework of the FIT21 BillÂ
According to the just enacted FIT21 legislation, some digital assets transferred or sold under an investment contract are not always securities. Pro-XRP attorney Bill Morgan stressed the critical role Judge Torres had in making sure this section was included in the bill, which may have significant ramifications for the cryptocurrency sector.
Notwithstanding the enthusiasm, the White House is now against the proposed legislation. The features of the law might influence the course of the current legal dispute between Ripple and the SEC. Recent whale action, which has attracted a lot of community interest, feeds this conjecture even further.
Moves 50.78 Million Coins
As per on-chain data from transaction tracker Whale Alert, a well-known XRP whale disposed of 50.78 million XRP after the bill was signed into law. These were made as multiple discrete transfers to Bitso and Bitstamp on CEX.
At first, the whale sent Bitstamp, which is situated in Luxembourg, 29.14 million XRP. The transfer of an additional 21.64 million XRP to Bitso later on piqued interest and alarmed market observers.
🚨 29,140,000 #XRP (15,413,660 USD) transferred from unknown wallet to #Bitstamphttps://t.co/Sx1WIA8OPz
— Whale Alert (@whale_alert) May 22, 2024
Since many people believed that the good news for Ripple would result in more accumulation rather than a sell-off, the whale’s behavior has raised concerns. It is yet unknown why the whale decided to dump the XRP tokens. But Ripple’s past partnerships with both exchanges imply that the action may have a calculated purpose.
Movement of the XRP Price
The price of XRP has fluctuated throughout the previous twenty-four hours. Press time saw XRP trading at $0.5285, down 0.62% from the previous day. The token’s prospects are bleak, as seen by the 32.63% drop in 24-hour trading volume to $1.12 billion, according to CoinMarketCap data.
The current price of XRP, which is a result of recent whale behavior, suggests more selling pressure. With the Relative Strength Index (RSI) at 51, the market is neutral.
This implies that either bulls or bears may control the token over the next few days. The bulls may benefit from the excitement the FIT21 bill has generated. The Senate is now the focus of attention for any new developments.
On the other hand, CNF previously covered Stuart Alderoty, the chief legal officer of Ripple, who blasted SEC Chairman Gensler and pointed out significant flaws in his regulation strategy.
