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XRP News: November 9 Deadline Looms with no News of an SEC v Ripple Settlement

By:
Bob Mason
Published: Nov 7, 2023, 01:51 GMT+00:00

The SEC and Ripple have until November 9 to jointly propose a briefing schedule with remedies to the charges against Ripple for XRP sales to institutional investors.

XRP News

In this article:

Key Insights:

  • XRP surged 8.14% on Monday, ending the session at $0.7149.
  • Investor bets on a favorable outcome for Ripple in the SEC v Ripple case delivered a bullish Monday session.
  • On Tuesday, the market focus will likely turn to the November 9 deadline for the SEC and Ripple to jointly propose a Briefing Schedule.

The Monday Overview

On Monday, XRP surged 8.14%. Following a 7.41% rally on Sunday, XRP ended the day at $0.7149.

Optimism Continued to Drive Demand for XRP

Speculation about the chances of a favorable outcome for Ripple in the SEC v Ripple case drove buyer demand on Monday.

On Sunday, attorney and partner at Hogan & Hogan Jeremy Hogan laid out favorable scenarios for Ripple in a settlement of institutional sales of XRP charges. The assessment followed the views of amicus curiae attorney John E. Deaton from Saturday, November 4. Deaton gave Ripple a 90-10 chance of a favorable settlement and talked about a $20 million penalty or less being a 99.9% Ripple victory.

Speculation about the settlement has intensified in recent sessions. The crypto community awaits updates from Ripple and SEC on progress toward a briefing schedule. Notably, the two parties must jointly propose a briefing schedule to the court by November 9.

According to the October 24 court order, the court will arrange a contested briefing schedule if the parties fail to agree to a briefing schedule. Remedies to the remaining charges are the focal point.

Failure to jointly agree to a briefing schedule delivers an element of uncertainty relating to a settlement. The need for a contested briefing schedule suggests that the two sides are still far from settling.

The level of uncertainty could test buyer appetite for XRP in the run-up to the November 9 deadline.

While investors wait for updates, SEC Chair Gary Gensler remains a hot topic of discussion.

On Monday, Ripple Chief Legal Officer Stuart Alderoty reacted to an October 25 Gary Gensler speech, saying,

“Remarkably, Gensler suggested that a crypto project retaining a lawyer is a security. That’s wrong as a matter of law, not to mention common sense. And it’s a not so subtle and outrageous threat to everyone’s right to consult with counsel.”

In the October 25 speech, Gensler continued placing cryptos into the securities basket despite recent SEC losses in court.

The SEC Chair had this to say about the crypto market,

“This is a field rife with fraud, scams, bankruptcies, and money laundering. While many entities in this space claim they operate beyond the reach of regulations issued before Satoshi Nakamoto’s famous white paper, they also are quick to seek the protections of the law, in bankruptcy court and litigating their private disputes.”

John E. Deaton responded to comments from Stuart Alderoty, stating,

“I began reading it and couldn’t continue because Gary Gensler is wrong on almost everything he says. And what’s great is the courts are proving just how wrong he is.”

Attorney Jeremy Hogan commented on XRP and whether it should be a security, saying,

“[…] how rare is it that the SEC sues a company for selling an unregistered security and during the litigation the price of the security increases? Very rare. And that might be another indication that the security is… not a security.”

XRP Price Action

Weekly Chart EMAs send bullish price signals.
XRPUSD 071123 Weekly Chart

Daily Chart

XRP remained above the 50-day and 200-day EMAs.

An XRP move to the Monday high of $0.7328 would give the bulls a run at the $0.7812 resistance level.

Updates, if any, from talks between the SEC and Ripple on a settlement would influence buyer appetite.

However, an XRP break below the $0.7047 support level would bring sub-$0.65 into view.

The 14-day RSI reading of 86.03 shows XRP sitting in overbought territory. XRP will likely face intensifying selling pressure over uncertainty surrounding settlement talks.

XRP Daily Chart EMAs affirmed bullish price signals.
XRPUSD 071123 Daily Chart

4-Hourly Chart

In the 4-hourly Chart, XRP holds above the 50-day and 200-day EMAs.

An XRP move to $0.75 would bring the $0.7812 resistance level into play.

However, a break below the $0.7047 support level would give the bears a run at $0.65 and the $0.6354 support level.

The 4-hourly RSI, with a reading of 81.43, signals that XRP is in overbought territory. Selling pressure could intensify without favorable settlement news.

XRP 4-Hourly Chart EMAs reaffirmed bullish price signals.
XRPUSD 071123 4-Hourly Chart

About the Author

Bob Masonauthor

With over 20 years of experience in the finance industry, Bob has been managing regional teams across Europe and Asia and focusing on analytics across both corporate and financial institutions. Currently he is covering developments relating to the financial markets, including currencies, commodities, alternative asset classes, and global equities.

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