Ever since the U.S. Securities and Exchange Commission (SEC) filed a lawsuit against Ripple for an unregistered securities offering in late December 2020, some investors have expressed their fears about XRP.
But a new wave of uncertainty recently hit the cryptocurrency market after sources close to the current Biden administration said policymakers plan to raise taxes on wealthy investors.
Against this backdrop, the “Fear and Greed Index,” a collective metric that measures current sentiment in the cryptocurrency market, changed from “Extreme Greed” to “Fear”for the first time in more than a year.
It was observed that XRP-related social sentiment experienced a significant decline, reaching its lowest levels since March. However, there has been an upswing in the last few days. This could indicate higher prices in the coming weeks: past data suggests that prices tend to move up when sentiment is at the bottom.