XRP News: Ripple Awaits Key SEC Appeal Decision Amidst Coinbase Case Developments
- XRP ends the week down 2.89% at $0.5233, despite avoiding sub-$0.50 levels for the ninth consecutive session.
- John Deaton suggests a case could be made against certain individuals for conspiring to create a monopoly.
- Ripple must file opposition to the SEC motion for interlocutory appeal by September 1, influencing investor sentiment.
The Sunday Overview
On Sunday, XRP gained 0.02%. Partially reversing a 0.46% loss from Saturday, XRP ended the week down 2.89% to $0.5233. Despite the bearish week, XRP avoided sub-$0.50 for the ninth consecutive session.
Crypto Advocates Call on Hinman and Clayton to Give Testimony
There were no updates from the SEC v Ripple case and SEC appeal to influence investor sentiment. While there was no Court activity, the crypto community continued to debate the ongoing Ripple case.
Speaking at the XDC Conference, CryptoLaw Founder and Amicus Curiae attorney John Deaton talked about the infamous William Hinman speech, saying,
“Don’t rule out there could be a case against certain individuals because you’re not allowed to conspire to then create a monopoly for a certain group of people. A lot of people don’t know is that ETH investors, a16z, literally helped write the speech. Where’s Hinman a partner today, a16z.”
a16z is a venture capital firm focused on crypto and Web3 startups, with over $7.6 billion in assets under management.
John E. Deaton Emphasizes the Importance of the Coinbase Case
Over the weekend, there were no updates from the ongoing SEC v Coinbase (COIN) case. However, the crypto community has highlighted the significance of the SEC v Coinbase case and the likely impact of a Coinbase win.
Amicus Curiae and CryptoLaw founder John E. Deaton had this to say about the SEC case against Coinbase,
“There’s a legitimate chance in the Coinbase case, there’s a legitimate chance that the Judge can even dismiss the case by saying on this motion to dismiss, which would normally never be granted, by saying that when you go to an exchange and you engage in a blind bid ask transaction you don’t know who you’re buying it from.”
Deaton went on to say,
“The exchange is not the issuer anyway, Coinbase or Uphold are not the issuer, so how can you rely on the efforts of someone else you don’t know you’re purchasing it from.”
“The Judge could say as a matter of law Howey does not apply to the secondary market transactions. These are just asset sales. If we get that decision and we get the Grayscale decision on the Bitcoin-Spot ETF, I believe that’s going to then create the landscape of us moving forward.”
This month, Republican Senator Cynthia Lummis, among others, filed Amicus Curiae briefs, requesting the Court to dismiss the case.
A favorable outcome to the Court filing could cement the Judge Torres ruling on XRP and Programmatic Sales. Significantly, it could also end the SEC’s rein of regulation by enforcement.
The Monday Session
After a range-bound weekend, investors will return their attention to the SEC v Ripple case. Following the SEC motion for interlocutory appeal, Ripple must file opposition to the motion by September 1. An early filing will influence investor sentiment.
Convincing language in opposition of the SEC motion would provide price support. However, investors will remain in limbo until after an SEC response to a Ripple filing. The SEC must file its response to any Ripple opposition by September 8.
After Ripple and the SEC have completed the required steps, Judge Torres will rule on the SEC motion for interlocutory appeal. It remains unclear on the timeframe for a Court ruling. Uncertainty will likely test buyer appetite.
However, we expect the crypto market to respond to SEC v Binance and SEC v Coinbase-related news and updates on the spot-ETF applications.
XRP Price Action
The Daily Chart showed XRP/USD above the $0.4920 – $0.4780 support band. After the Saturday pullback, XRP hovered below the 50-day and 200-day EMAs, sending bearish near and longer-term price signals.
This morning, the 14-Daily RSI sits at 34.57, reflecting a bearish sentiment. The RSI and the EMAs signal a return to sub-$0.50 to test the upper level of the $0.4920 – $0.4780 support band. However, an XRP break out from the 200-day EMA would give the bulls a run at $0.55.
Looking at the 4-Hourly Chart, XRP holds above the $0.4920 – $0.4780 support band. However, XRP remains below the 50-day and 200-day EMAs, reaffirming the bearish near-term price signals.
The 49.30 14-4H RSI reflects a bearish sentiment, with selling pressure outweighing buying pressure. Notably, the RSI and EMAs signal a return to sub-$0.50 to give the bears a run at the $0.4920 – $0.4780 support band. However, an XRP breakout from the 50-day EMA would bring the $0.5750 – $0.5900 resistance band and the 200-day EMA into view.