A lot has happened this year in the two-year battle that continues to rage between the US Securities and Exchange Commission (SEC) and Ripple Labs – the creators of the cryptocurrency XRP.
One of these is the amount of backing Ripple has garnered from several institutions and associations over the months. Others include how Ripple has accused the SEC of deliberately stalling to avoid the outcome of a battle they know they are bound to lose.
Below, we see some of the latest developments in the court case, how they may affect the end of the legal proceedings, and XRP price.
Amicus briefs allow uninvolved individuals or institutions to offer help or assistance in an ongoing court case.
Filing these documents is an instrumental factor in the outcome of the Ripple versus SEC lawsuit.
In recent news, Judge Torres has granted motions allowing Ripple's supporters to file motions for Amicus Briefs. Additionally, according to a tweet from attorney James K. Filan, Judge Torres has granted motions for these supporters to file Amici briefs.
By November 18th, the Blockchain association, six XRP holders, CoinBase, and about eight others must file formal briefs.
This, of course, is an essential development for Ripple if it hopes to beat the SEC in court, and judging by the performance of XRP, its investors are starting to gain much-needed confidence in these difficult times.
Similar to what it did to Ripple a year before, in March 2021, the SEC served LBRY a lawsuit, alleging that the company was offering unregistered securities for sale.
The SEC requested a civil penalty, disgorgement of any cash received with interest, and a permanent injunction against the sale of the tokens. However, it made no claims of fraud or made any accusations against specific people.
It was established that LBRY does not pass the Howey test, which is a test that determines whether a commodity is a security or otherwise.
According to Lawyer John Deaton in his CryptoLawTv twitter broadcast, the LBRY case resembles Ripple's because, in both instances, the creators had no initial coin offerings (ICOs) and instead raised money from angel investors. However, their Howey test defenses are different.
One of the main differences is that the SEC v. Ripple case, currently pending in the Second District, isn't precisely related to the LBRY decision because the LBRY case was heard in the U.S. First District.
Ripple has exploded in Price over the last 24 hours and is now about 10% up from its $0.34 intraday low.
The cryptocurrency currently trades at $0.3819 at the time of writing and has ranged from $0.34 to $0.3844 over the last day.
XRP appears to be in a falling wedge on its daily chart and has been trading within the support and resistance of this formation since it hit the $0.19 zone in April.
The cryptocurrency price hit the $0.55 zone and ranged between $0.55 and $0.45 from late September to early November.
However, in light of the latest FTX saga, XRP dipped along with the rest of the market and hit a $0.32 low in what now appears to be a medium-term retest of the wedge's support.
The bullish price action of XRP over the last day suggests that the bulls are healthy and are not afraid to show their strength against the bears.
The RSI on the daily chart is slightly below the neutral line and is now heading for a neutral ground for the bulls and bears to push back against one another and determine where the cryptocurrency price goes next.
Overall, the 50-day simple moving average sits at $0.46, the 100-day moving average is at $0.41, and the 200-day moving average sits at $0.40. all of these points represent good resistances XRP has to beat before a confirmed long to medium-term bullish move to the upside.
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