Over the weekend, XRP’s price went down by 0.19%, ending the day at $0.5308, which was different from the general upward trend in the crypto market. There is no doubt that investors’ mood was affected by the ongoing SEC v. Ripple case and the SEC’s plan to appeal the programmatic sales decision.
Hence after going up by 3.54% on Friday, XRP lost some of its gains on Saturday and ended the day at $0.5308, which was different from the rest of the market, which went up by 0.63% to $1,579 billion.
SEC v Ripple Case Recap
There were no major developments on Saturday, but recent court papers and schedules include Judge Analisa Torres approving Ripple’s request to file a Sur-Reply letter that shows the SEC was wrong. The SEC asked Ripple for financial documents and contracts made after the lawsuit.
The discovery part about remedies ends on February 12. In July, Judge Torres made the important decision that XRP is not a security. He also pointed out that Ripple did not register it as a security when it was sold to institutional buyers.
Now as per the recent update, the SEC and Ripple will talk about possible punishments for breaking Section 5 of the 1933 Securities Act.
Watch out for Key Dates
In SEC vs Ripple, crucial dates have been set. The SEC must present its plan by March 13, 2024, Whereas Ripple must respond by April 12, and the SEC must reply by April 19. Post these filings, Judge Torres will decide penalties for securities law breaches, with a ruling expected in the summer. Ripple and the SEC retain the right to appeal after the case concludes.
Room for Uncertainty?
In August, the SEC sought an interlocutory appeal against the Programmatic Sales ruling, but the court rejected it in October, delaying any appeal until the case concludes.
Ripple CEO Brad Garlinghouse expressed optimism about an appeal outcome, while uncertainty remains due to the recent SEC v Terraform Labs ruling. An SEC appeal could extend the case into 2025.
How Will XRP Price React?
XRP is currently showing a bearish trend, staying below the 50-day and 200-day EMAs on both daily and 4-hour charts. The key resistance is at $0.5470, while support levels are at $0.52 and $0.5042. The 14-day RSI suggests a possible fall to $0.5042.
If XRP breaks above the 50-day EMA, it may target $0.5470, but a drop below $0.52 could lead to $0.5042. Investors should keep a close eye on legal developments, as they strongly influence XRP’s market behavior.