Ripple’s Future Uncertain: The price of XRP dropped by 1.30 percent on Saturday, June 8, and it finished the trading session at $0.4928. While investors waited for two key cryptocurrency court verdicts, XRP followed the broader cryptocurrency market into negative territory. On Sunday, investors should watch news and talk linked to the Securities and Exchange Commission (SEC) and cryptocurrency cases.
The Saturday Overview
The price of XRP fell by 1.30 percent on Saturday, June 8. After seeing a decline of 4.29% on Friday (June 7), the price of XRP finished the session at $0.4928.
SEC vs. Crypto: Ripple Court Ruling and Appeal Plans
The cryptocurrency market is still fixated on the ongoing SEC vs. Ripple case. Ripple’s Future Uncertain was accused of selling XRP to institutional investors, violating US securities regulations, so investors eagerly anticipated the court’s decision. The courts may impose punitive penalties and injunctions on Ripple if they determine that the company continued to violate US securities laws following the 2020 complaint. The SEC sought an injunction and a $2 billion fine in the opening brief about remedies. Ripple could not sell XRP to large financial institutions if a court issued an injunction. In addition, an injunction could severely impact expansion plans in the US.
Once the case concludes, XRP may encounter additional uncertainty. Investors anticipate that the SEC will file an appeal challenging the XRP Programmatic Sales judgment. Judge Analisa Torres determined in July 2023 that XRP programmatic sales fail to meet the third requirement of the Howey Test. Some have speculated that the SEC would hold off on approving XRP-spot ETFs until the appeals process is concluded. If Ripple’s Future Uncertain case is decided in the summer, the appeals process might go into 2025. In a recent interview, Ripple CEO Brad Garlinghouse hinted at a possible XRP-spot ETF market around 2025.
SEC vs. Coinbase: Motion for Interlocutory Appeal Ruling Pending
Nevertheless, the SEC’s intentions to appeal the Programmatic Sales of XRP decision could be thwarted by a court decision in Ripple’s Future Uncertain (COIN). Investors anticipate the decision on Coinbase’s Motion for Interlocutory Appeal. Following a partial denial of Coinbase’s Motion to Dismiss (MTD), the company moved for interlocutory appeal in April.
Attorney and potential Massachusetts senator John E. Deaton believed in September 2023 that the SEC would resolve the Ripple issue if the court approved the Coinbase MTD. The SEC may be pushed to abandon its intentions to challenge Ripple’s Future Uncertain case rulings, even though the likelihood of a settlement is low.
Read More: XRP Drops: Another Setback or Buy?
The US Presidential Election and Political Pressures
According to John E. Deaton, who provided valid grounds in September 2023, the SEC may respond to a Coinbase victory by stating That it may also be subject to pressure from Capitol Hill. President Joe Biden may reach out to crypto supporters if Republican Party front-runner Donald Trump gains a significant lead in the polls. It might not be enjoyable that Coinbase plans to appeal the Programmatic Sales of XRP verdict to the SEC. Regarding the US presidential election and the crypto vote, Stuart Alderoty, chief legal officer of Ripple, said the following:
John E. Deaton is running against Elizabeth Warren, the incumbent senator from Massachusetts. Although Deaton is battling for more than just cryptocurrency, the US digital asset industry would benefit significantly if Senator Warren were removed from office. She introduced the Digital Asset Anti-Money Laundering Act in 2023. Crypto companies would be subject to anti-money laundering (AML) and counter-terrorism financing (CFT) regulations like banks under the proposed legislation.
Senator Warren, the American Bankers Association, and Senator Roger Marshall were all implicated in the bill’s development in December 2023. Senator Warren became the center of attention in 2023 when she led a procession of US bank CEOs during a Banking Committee hearing on Capitol Hill. As expected, Jamie Dimon, CEO of JPMorgan Chase, famously stated.
XRP Price Action
Daily Chart
XRP maintained a comfortable distance below the 50-day and 200-day exponential moving averages, confirming negative price patterns. A violation of the trend lines by XRP could indicate a move toward the 50-day exponential moving average. The bulls might be able to make a run at the 200-day exponential moving average if they can break above the 50-day EMA. Attention from investors is warranted for news and activities linked to the SEC versus cryptocurrency case. On the other hand, if the price of XRP falls below the $0.48 handle value, the $0.45 handle might become relevant. A value of 37.19 for the 14-day Relative Strength Index (RSI) indicates. RP should drop below the $0.48 mark before entering oversold territory.
