Will Ripple's ODL Impact XRP Prices?

Well Mickle, a notable wealth advisor and market commentator, recently took to X to share why he believes that Ripple's ODL will impact the XRP prices.

Well Mickle, a notable wealth advisor and market commentator, recently took to X to share why he believes that Ripple’s ODL will impact the XRP prices. His arguments come in response to claims that the buy and sell dynamics involved in ODL transactions cancel each other out, rendering the net impact on XRP’s price as neutral.

Mickle’s Contentions

Mickle’s counter-argument highlights a crucial aspect that critics seem to be overlooking. According to him, these critics are missing out on the necessity for market makers to hold reserves of XRP.

As the world prepares for the upcoming bull run and demand for ODL transactions surges, these market makers will need to accumulate XRP in order to meet the demand for both buying and selling the token. With increasing demand for XRP among market makers and the finite supply of the token, the price of XRP is bound to be affected positively.

Furthermore, Mickle argues that as ODL expands globally, it will require even more market makers to hold XRP in their reserves. This increased demand, coupled with the limited supply of XRP, should logically create upward pressure on the token’s price.

Eri Counters Mickle’s View

While Mickle is optimistic about the impact of ODL on XRP’s price, Eri, a well-known figure in the XRP community, pointed out in a response that Ripple itself has indicated in court documents that ODL transactions are largely demand-neutral.

This disclosure by Ripple, mentioned by Eri, indicates that ODL transactions, which involve the simultaneous purchase and sale of XRP, do not significantly affect its price. The reason for this is that each ODL transaction involves the purchase and sale of the same amount of XRP within a short timeframe, effectively neutralizing any impact on the token’s market value.

Additionally, Eri highlights that Bob Way, who Mickle referenced in his argument, exited Ripple before significant changes were made to ODL’s operational flow and hence Ripple’s current system for managing ODL transactions differs from the setup before.

Ripple’s SEC Case: Will SEC Appeal?]

In the light of recent developments, Mickle also discussed Kraken’s case where it took a bad loss earlier today against the SEC. Ripple beat the SEC in the district court and if the SEC were to appeal the ruling, they would go to the second circuit.

And if the SEC took the Ripple case to the second circuit, they could sink their chances in any other ongoing cases and their precedent would be a losing case for the SEC.

Hence, according to Mickle, the SEC might be more cautious about appealing the Ripple case to avoid setting a precedent that could weaken its position in other ongoing cases.

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