As the ongoing lawsuit between SEC and Ripple rages on, the hype around it has triggered the XRP price action.
In December 2020, the SEC filed a lawsuit against Ripple and its executives, Chris Larsen and Brad Garlinghouse, alleging that the sale of XRP constituted an offering of unregistered securities worth over US$1.38 billion.
If monitored closely, XRP followed a bullish performance in the second half of September. XRP also managed to register a breakout above its long-term descending support.
Ripple Slams SEC
Lately, Ripple slammed the U.S. Securities and Exchange Commission for denying two XRP-friendly firms from filing amicus briefs in the case.
Reportedly, the SEC asked Federal Judge Analisa Torres to deny the requests of TapJets Inc. and I-Remit Inc. to submit briefs supporting Ripple.
The SEC opposed both motions after adding that these were improper attempts to offer evidence outside the constraints of discovery restrictions and the rules of evidence.
To which Ripple accused the SEC of “mischaracterizing” their proposed briefs. Ripple also urged that the SEC should not have brought the lawsuit in the first place if it could not evaluate the veracity of such claims.
Last month, Judge Analise Torres ordered the SEC to hand over Director Hinman’s document to Ripple, with the lawsuit turning in favor of XRP.
These documents may be valuable in proving that XRP is not a security and may end the two-year-long case.
XRP Future Price Trajectory
As the case gets much closer to the finish line, the native token of the Ripple blockchain has started to follow positive momentum.
XRP also managed to defend the bearish momentum of the recent crypto market bloodbath and gained over a whopping 60% from its current value. In the last seven days, XRP has gained over 15%.
In the last 24 hours, XRP soared by 4%, trading at $0.5014, with a market cap of $50 B. For a few days, the XRP prices have been trading above the 50-day and 200-day moving averages, indicating a BUY opportunity.
The XRP market is currently hinting a neutral state, as evidenced by the current RSI value of $61.26
XRP’s On-Chain Metrics
Meanwhile, numerous on-chain observations align with the dynamics currently in favor of Ripple in the ongoing lawsuit.
For instance, the XRP whale transaction volume on Santiment has increased activity since October. This spike in whale activity reflects an elevated buying pressure.
However, XRP’s daily active addresses metric is still closer to its declining 4-week range since the last week of September. It has not achieved a sizeable uptick at press time, which hints that the retail trader’s segment has not reacted to whale activity.
Numerous high-profile analysts in the crypto community believe a landmark win for XRP over the SEC and predict the coin to go parabolic and beat its January 2018 all-time high of $3.84.
Disclaimer: The author’s comments and recommendations are solely for educational and informative purposes. They do not represent any financial or investment advice. Always DYOR (do your own research)