XRP ranges below $0.53 as traders digest SEC vs. Ripple lawsuit filings and evidence
- Ripple and the SEC have filed their reply briefs and supporting evidence, awaiting the court’s ruling in the lawsuit.
- SEC’s redacted reply brief to Ripple, made public on Wednesday, continued to demand a hefty penalty of $2 billion.
- XRP is stuck below sticky resistance at $0.53 on Thursday.
XRP is ranging below $0.53 on Thursday as investors continue to digest the recent developments in the legal battle between Ripple and the US Securities and Exchange Commission (SEC).
Both parties have filed their final remedies-related briefs and replies, in which they continue to support their prior stances: While SEC demands a $2 billion fine, Ripple considers that this should amount to a maximum of $10 million. The judge is expected to rule on the case in May.
Daily Digest Market Movers: XRP legal proceedings draw to a close
- SEC vs. Ripple lawsuit has garnered much attention from XRP holders, as developments in the legal battle have impacted the altcoin’s price. Both parties have filed their remedies-related briefs, opposing briefs and responses. Redacted versions of the filings and the supporting evidence have been made publicly available on Wednesday.
- The court is expected to rule on the penalties to be imposed on Ripple for the alleged violation of securities laws in May.
- Attorney James Filan shared the recent redacted version of the SEC filing in a tweet on X:
- Attorney Jeremy Hogan noted that the SEC did not comment on institutional sales of XRP, and observed that Ripple is trying to re-litigate. In Hogan’s words the SEC “went out without a whimper.”
The Ripple v. SEC briefs are FINISHED!
And I think the SEC went out with a whimper here.
It didn’t even try to attack ODL sales, just noting that Ripple was trying to re-litigate the issue (which it is).
And it brought nothing new on damages.
Just waiting for The Judge now! https://t.co/r8nxNMTzqj pic.twitter.com/Futa93lXUb
— Jeremy Hogan (@attorneyjeremy1) May 8, 2024
- Attorney Bill Morgan pointed out that Ripple may have considered the worst-case scenario in the lawsuit, a permanent injunction on its ODL sales. Ripple is prepared for the court ordering the firm to stop its XRP ODL sales, and this is clear from the way that the payment remittance firm has structured its arrangements for the US and other jurisdictions where it holds licenses.
It is worth pointing out that Ripple’s current arrangements disclosed in the opposition brief of using USDT or other crypto in the US for ODL and using subsidiaries in other foreign jurisdictions pursuant to licences in those jurisdictions for ODL sales are structured in a way… https://t.co/42pFcj2Y3T
— bill morgan (@Belisarius2020) May 8, 2024
Technical analysis: XRP stuck below $0.53 on Thursday
Ripple is stuck between the $0.57 and $0.50 range for over one week. The altcoin faces sticky resistance at $0.53 at the time of writing, a level that represents the 50% Fibonacci retracement from the April 9 to April 13 sell-off.
In the weekly time frame, the $0.4665 level is a key support for XRP, and the $0.5630 is the key resistance level to beat.
The Volume Profile indicator shows that the point of control is at $0.6159, which acted as support throughout March. It corresponds to the highest volume of XRP traded in the daily chart. The Moving Average Convergence Divergence (MACD) indicator shows green histogram bars above the neutral line, implying positive momentum in Ripple’s upward trend that started on April 20.
XRP/USDT 1-day chart
Looking down, XRP could find support at the May 1 low of $0.4782. XRP could sweep liquidity at this level and attempt to recover from the recent decline in price.