Timothy Peterson, a Bitcoin and crypto analyst at Cane Island Alternative Advisors, estimated that the average XRP investor lost $ 6,000 in the recent market drop due to the SEC case against Ripple.
According to Peterson, the SEC’s actions damaged XRP investors a total of $ 10 Billion as explained below.
“The SEC’s dubious sanction against Ripple cost investors $ 10 billion, more than five times the SEC’s annual budget. The average XRP investor lost approximately $ 6,000 in this action alone.”
$ 10 billion loss could save the U.S. government between $ 1 and $ 2 billion in taxes
Peterson pointed out that the $ 10 billion lost by XRP investors could bring the US government $ 1-2 billion in tax revenue in capital gains taxes.
According to his analysis, the latest move has left the SEC without enough income to fund it for a year.
XRP has recovered somewhat
XRP’s bearish trend due to the news was further weakened yesterday, bouncing from the $ 0.20 support level in the previous days.
XRP quickly recaptured the $ 0.25, $ 0.30, and $ 0.32 support zones shortly after being rejected in the $ 0.35 resistance zone.
At the time of writing, XRP is trading at $ 0.34 and it looks like it will try to break the $ 0.35 resistance area once again.
At a macro level, XRP is currently trading above the significant 200-day moving average in the $ 0.30 price area. The fact that XRP reaches a value above this moving average is extremely important for a rise despite the SEC lawsuit.