- XRP surpasses $0.53, gaining 3% this week, as holders await the court ruling in the SEC vs. Ripple lawsuit.
- Ripple’s legal battle with SEC heats up amid SEC Chair Gary Gensler’s confident remarks on the agency’s court performance.
The cryptocurrency market is abuzz as XRP, the digital currency associated with payment remittance firm Ripple, has surged past the $0.53 mark, achieving a 3% increase this week. This price rally comes at a critical juncture as the long-awaited ruling in the SEC vs. Ripple lawsuit looms on the horizon. The outcome of this legal battle, which has captivated the crypto community, is expected to be influenced by the recent approval of the FIT21 bill by one house of Congress.
SEC Chair Gary Gensler, speaking at the ICI 2024 Leadership Summit, emphasized the SEC’s strong track record in legal confrontations with cryptocurrency firms. However, Ripple’s Chief Executive Officer, D. Garlinghouse, and Chief Legal Officer Stuart Alderoty have been vocal critics of Gensler’s “regulation by enforcement” approach. They argue that this method is detrimental to innovation and fair regulatory practices.
Ripple has been embroiled in a legal dispute with the SEC, which accuses the firm of selling unregistered securities (XRP) to institutional clients at varying discounts, netting substantial “ill-gotten gains.” The SEC has called for a $2 billion fine, while Ripple has countered with a proposal for a $10 million fine and an injunction on XRP sales to institutional clients in the US. The court’s forthcoming decision is eagerly anticipated, with significant implications for the future of XRP and the broader cryptocurrency market.
Despite the legal uncertainty, XRP has maintained its upward trajectory. Since April 13, the altcoin has been in a consistent uptrend, marked by higher highs and higher lows on the XRP/USDT 1-day chart. This positive momentum is supported by technical indicators: the Moving Average Convergence Divergence (MACD) reveals underlying bullish momentum, and the Relative Strength Index (RSI) stands at 52.93, suggesting a continued recovery in XRP’s price.
Pro-crypto attorneys and XRP community analysts are closely monitoring the potential impact of the FIT21 bill. Brad Garlinghouse recently highlighted the political shifts surrounding crypto regulation in a tweet, pointing out the bipartisan support for the bill and critiquing Gensler’s tenure as a political liability for the Biden administration.
Should Ripple sustain its uptrend, technical analysis suggests that XRP could extend its gains by over 7%, potentially reaching $0.5703, a significant resistance level observed earlier this month. Conversely, if the price dips, XRP could find support near the May 23 low of $0.5027, a crucial psychological level.
As the crypto world awaits the pivotal court ruling, XRP’s performance remains robust, reflecting both the resilience of its community and the high stakes of its ongoing legal battle.