XRP Bears Target Sub-$0.30 as SEC v Ripple Court Activity Picks Up

Key Insights:

• On Monday, XRP slid by 3.05% to end the day at $0.33899.
• XRP joined the broader crypto market in the red, with uncertainty toward the outcome of the SEC v Ripple case adding further pressure.
• The technical indicators remain bearish, with XRP sitting below the 50-day EMA, supporting a near-term decline to $0.30.

On Monday, XRP slid by 3.05%. Following a 1.35% loss on Sunday, XRP ended the day at $0.33899. The bearish session left XRP at sub-$0.34 for the first time since November 9.

A bullish start to the day saw XRP rise to an early morning high of $0.35326 before hitting reverse. Coming up short of the First Major Resistance Level (R1) at $0.3539, XRP slid to a late low of $0.33218.

XRP fell through the Major Support Levels before finding support. A late move back through the Third Major Support Level (S3) at $0.3359 reduced the deficit.

SEC v Ripple Case Updates Have Muted XRP Price Impact

Updates from the ongoing SEC v Ripple case drew interest at the start of the week. Attorney James Filan shared the latest Court action, saying,

“Judge Torres issues Order on the Parties’ Motions to Seal Documents in connection with the Expert Challenges.”

The Parties sought an order to seal and redact certain documents in connection with their motions to exclude expert testimony (the “Daubert Motions”).

• SEC proposed the redactions to protect the identity of expert witnesses, their personal information, and the identity of a non-party and its representatives.
• Defendants sought an order to redact portions of certain exhibits in connection with their Daubert Motions. The redactions are to protect highly confidential business information, limited personal identifying information of the defendants, and the legitimate privacy interests of third parties.
• Non-parties MoneyGram International and Third-Party A requested the redaction of portions of certain documents to protect their own confidential business information and privacy interests.

Judge Torres granted the SEC’s motion to redact the documents in connection with the Daubert Motions while denying the SEC’s motions to redact the names of the consulting firms that assisted its expert witnesses.

Judge Torres granted the motions of the Defendants and the non-parties.

In July, Ripple filed a letter opposing the SEC’s request ‘to impose an unprecedented level of secrecy on these proceedings by sealing all identifying information in the Daubert Motions regarding its five proffered expert witnesses.’

The latest updates had a muted impact on XRP, however. Investors await a Court ruling on the Summary Judgment Reply briefs that could decide the outcome of the SEC v Ripple case.

XRP Price Action

At the time of writing, XRP was down 0.24% to $0.33819. A mixed start to the day saw XRP fall to an early low of $0.33621 before rising to a high of $0.34278.

Technical Indicators

XRP needs to move through the $0.3415 pivot to target the First Major Resistance Level (R1) at $0.3508 and the Monday high of $0.35326. A return to $0.35 would signal a bullish session.

In the case of an extended rally, the Second Major Resistance Level (R2) at $0.3626 and $0.3650 would likely come into play. The Third Major Resistance Level (R3) sits at $0.3836.

Failure to move through the pivot would leave the First Major Support Level (S1) at $0.3297 in play. However, barring an extended sell-off, XRP should avoid sub-$0.3250 and the Second Major Support Level (S2) at $0.3204.

The Third Major Support Level (S3) sits at $0.2993.

Without updates from the SEC v Ripple case, XRP will likely sit in the hands of the broader crypto market and the crypto news wires.

The EMAs and the 4-hourly candlestick chart (below) sent a bearish signal.

At the time of writing, XRP sat below the 50-day EMA, currently at $0.36281. The 50-day EMA slid back from the 100-day EMA, with the 100-day EMA falling back from the 200-day EMA. The signals were bearish.

A move through R1 ($0.3508) would support a run at R2 ($0.3626) and the 50-day EMA ($0.36281). However, failure to move through the 50-day EMA ($0.36281) would leave XRP at risk of a fall to sub-$0.30.