Ripples (XRP) gained slightly on Tuesday, June 25th, reversing some of its previous losses. This uptick coincided with positive news from Dubai, but ongoing legal battles with the SEC continue to cast a shadow on the cryptocurrency’s price.
XRP closed the trading session at $0.4761, a 0.44% increase after dipping 1.19% on Monday. This small gain comes amidst heightened investor anxieties surrounding the SEC’s lawsuit against Ripple Labs. The outcome of this court case is expected to significantly influence XRP’s price trajectory.
Adding fuel to the fire, the SEC Chair, Gary Gensler, made strong remarks about the cryptocurrency market on Tuesday at Bloomberg Invest. Gensler raised concerns about the lack of transparency in many crypto offerings and the potential harm inflicted on investors. These comments triggered a response from Ripple CEO Brad Garlinghouse, who accused Gensler of “slander” and criticized the SEC Chair’s handling of the crypto industry.
However, despite the ongoing legal battles in the US, Ripple secured a significant victory on the global front. The Dubai Virtual Asset Regulatory Authority (VARA) granted approval for XRP to be used in cross-border transfers. This move signifies the growing international adoption of XRP, a positive development for the cryptocurrency.
While the Dubai approval is a welcome sign, uncertainties surrounding the SEC lawsuit continue to weigh heavily on XRP’s price. The court could potentially impose a hefty fine on Ripple and even restrict XRP sales to US institutional investors. This potential outcome could trigger prolonged selling pressure for XRP.
Technical analysis suggests that XRP is currently in a bearish trend, trading well below key moving averages. A breakout above these averages could indicate a price swing towards the $0.50 mark. Conversely, a drop below the current level could lead XRP down to $0.45. Investors are advised to closely monitor developments in the SEC case and any related court rulings.
Overall, XRP presents a mixed picture. While Dubai’s approval and potential for wider adoption are encouraging signs, the legal battle with the SEC remains a significant hurdle. Investors should carefully consider these factors before making any investment decisions.
