XRP is up over 30% in the past 7 days amid positive sentiment in Ripple’s case against the United States’ Securities and Exchange Commission, in which the SEC alleged that Ripple sold XRP as illegal securities.
In the latest development on the case, Judge Analisa Torres has granted Ripple permission to respond to the SEC’s Memorandum of Law in support of the Motion to Strike fair notice defense, according to court documents.
Additionally, Judge Torres also ordered the unsealing of three documents concerning the SEC vs. Ripple case, including Ripple’s CEO, Brad Garlinghouse’s email thread and deposition notice and founder Chris Larsen’s email string.
Read: Ripple announces share buy-back at a $15 billion valuation
What you should know
XRP bulls received the news warmly as XRP’s price rallied over 30%, from its Feb. 3’s lowest level of $0.58 to as high as $0.79 at the time of this writing. XRP is, however, down 6.54% Year-to-Date (YtD).
The upside movement also picked momentum as Jeremy Hogan, partner at law firm Hogan & Hogan, noted that the SEC vs. Ripple might be heading toward a verdict. He stated when replying to a Twitter user who was trying to understand if the news surrounding the case was good or bad that “It’s good because we are moving into the second phase of the case where “things” are going to happen.
Looking at technical analysis, XRP now faces a resistance confluence ahead in the form of its 20 and 50 exponential moving averages (EMAs). Also to consider, the two moving averages look poised to form a ‘death cross’ should the 20-week EMA cross below the 50-week EMA which indicates a classic sell signal.
Nonetheless, a decisive, high-volumed close above the said EMAs, alongside Bitcoin’s rapid rise, may limit the selloff risks associated with the death cross. Moreover, an extended upside momentum may have XRP price retest its descending trendline resistance near $1.26, a 50% price increase from current levels.
Read: Top 5 cryptocurrencies to watch in February 2022
What they are saying
Alexander Mamasidikov, the co-founder of crypto wallet service MinePlex, ignored the downside warnings, asserting that the end to a long-standing court battle between the SEC and Ripple would prove bullish for XRP.
He stated, “With the anticipation that the SEC-induced legal battle alleging the status of XRP as security will be settled this year, the current buy ups can be seen as an avenue to stack up at a discount for possible price surge in the longer term. Should the current trend be sustained, XRP’s community’s ambitious backing can help push the cryptocurrency to hit a new monthly high of $0.88 per coin.”
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