The SEC vs. Ripple Battle Heated Up, Pushing Ripple (XRP) Up 22%.
Continued buying above $0.378571 has pushed the price of one Ripple (XRP) coin higher. In the cryptocurrency market, Ripple is considered to be one of the best performing coins.
The majority of the XRP price increase followed the news that the public could now view the Ripple summary judgement briefs. It was unexpected, but as a result, Ripple’s hourly chart suddenly displayed a massive green candle, and the price of Ripple increased by 5% in under an hour.
When it comes to the Howey Test for securities, Ripple claims their asset fails. As for Ripple and some of its team members, the SEC has maintained that they conducted an unregistered securities offering. This is why the case is nearing conclusion and why investors are bullish on Ripple’s prospects.
Even though most other cryptocurrencies were trading sideways, XRP was up 8.84% on the day. Additionally, a recovering crypto market and a weak US dollar helped contribute to the rise in Ripple prices.
Do you want to find out more about Ripple trading? Read this short article I wrote in 2022 about how to invest in Ripple (XRP).
Summarizing the Ripple and SEC Case
XRP’s recent price increase may be related to the ongoing litigation between Ripple and the SEC. In a lawsuit filed in December of 2020, the SEC claimed that Ripple had made an unregistered security offering of over $1.38 billion through the sale of XRP, the native currency of Ripple Labs’ XRP Ledger.
The US Securities and Exchange Commission and Ripple Labs Inc. filed a motion for summary judgement on Saturday, hoping to settle the case without going to court. Both Ripple and the US markets regulator filed motions with the US District Court for the Southern District of New York, asking Judge Analisa Torres to issue a summary judgement, which is a decision based on statements and evidence rather than a full trial.
An important doctrine that helps legislators define decentralised transactions could emerge from such a summary judgement, says Nadia Ho, a legal expert on Web 3.0 and digital law based in New York. Ripple’s CEO Brad Garlinghouse and executive chairman Chris Larsen were both named as defendants by the SEC for allegedly aiding and abetting the company’s illegal activities.
In response to the Lawsuit, from Ripple’s Perspective
Nonetheless, Ripple claimed in its Saturday filing that “Ripple had and has no contract with numerous XRP recipients and was not even involved with most XRP trades in the secondary market.” Even if some investors buy XRP for speculation, Ripple said, many assets are bought for profit without being converted into securities.
As a result, the ongoing lawsuit between Ripple and the SEC was blamed for XRP’s rising value.
In addition, the SEC claimed that Ripple misled investors into thinking that purchasing XRP would generate profits when in fact it would not. The SEC claims that Garlinghouse made statements to the effect that Ripple’s “investment in” XRP was “just getting started” and that he was proud of the fact that the value of XRP had increased by 20,000%.
A reasonable fact-finder cannot infer that purchasers of XRP expected benefits from Ripple’s actions as opposed to market factors affecting cryptocurrencies in general, according to Ripple’s response.
CEO of Ripple, Brad Garlinghouse, tweeted on Sunday that the SEC isn’t interested in applying the law and instead wants to recreate it all in an illegal effort to expand its jurisdiction far beyond the authority provided by Congress. The case is now closing, and investors are betting on Ripple’s future success.
Token Economics and the Current Ripple Price
In the last 24 hours, $2.4 billion has changed hands at the current XRP price of $0.378571. The price of XRP has risen by 8.84% in the last day and 22.57% in the last seven days.
Today, Ripple’s market cap of $18.8 billion places it at #7 among all cryptocurrencies. There are a total of 100,000,000,000 XRP coins, with 49,848,747,475 in circulation at the present time.
A Look at the Future of Ripple Technology
Technically speaking, the XRP/USD pair has broken out in a bullish direction through the symmetrical triangle pattern, pushing XRP to the $0.4235 level. Just below the $0.4235 resistance level, the XRP/USD pair is trading at the moment.
In the absence of a symmetrical triangle, the formation of a bullish engulfing pattern suggests that Ripple will most likely continue to trend upwards. When the XRP price breaks out above $0.4235, it could rise as high as $0.4500, or even $0.4636.
Bearish crossover below $0.3865 support for Ripple could lead to $0.3550 support for XRP. Above $0.3860, it may be prudent to maintain a bullish stance as both the MACD and the RSI point toward continuing purchases.
