XRP News: Ripple’s Victory, Senator Warren, and the SEC vs. Coinbase Battle

Bob Mason
Published: Jan 5, 2024, 02:21 GMT+00:00

The Republicans have called a sub-committee hearing on January 10 to retort the December Banking Committee Hearing and Jamie Dimon's tirade.

XRP News

In this article:

Key Insights:

  • XRP gained 0.88% on Thursday, ending the session at $0.5879.
  • Senator Elizabeth Warren became the center of attention, with the House Committee on Financial Services calling a January 10 hearing.
  • On Friday, the focus will remain on BTC-spot ETF-related news, US regulatory scrutiny, and SEC v crypto case-related updates.

The Thursday Overview

On Thursday, XRP gained 0.88%. Partially reversing a 6.68% slide from Wednesday, XRP ended the day at $0.5879.

Senator Elizabeth Warren and the Anti-Crypto Army

On Thursday, Senator Elizabeth Warren became a topic of discussion. The crypto community reacted to a Politico article reporting, “No New Challenger to unseat Senator Elizabeth Warren.” The article stated that there is no high-profile Republican to challenge Senator Warren.

Ripple CEO Brad Garlinghouse reposted a call for amicus Curiae attorney John E. Deaton to run against Senator Warren. The post on X (formerly Twitter) said,

“The Warren Anti-Crypto Army doesn’t stand a chance against the Pro-Crypto Army.”

On Thursday, the US House Committee on Financial Services announced a hearing of the Subcommittees on Capital Markets and Digital Assets, Financial Technology & Inclusion. The January 10 hearing is entitled “Regulatory Whiplash: Examining the Impact of FSOC’s Ever-Changing Designation Framework on Innovation.”

The amicus curiae attorney Deaton responded to the announcement on X, posting,

“If you want someone to testify who actually represents the interests of token holders – not crypto companies – and who has taken on the SEC and who’s helped expose just how much Gary Gensler does NOT protect investors – I volunteer my services.”

Deaton represented 75k XRP holders in the SEC v Ripple case, leading to the Programmatic Sales of XRP ruling. The ruling was a big win for Ripple and the broader crypto market.

In the post, Deaton also highlighted his representation for over 5k Coinbase (COIN) customers in the SEC v Coinbase case.

In June 2023, the SEC charged Coinbase for allegedly operating as an unregistered securities exchange, broker, and clearing agency. Additionally, the SEC charged Coinbase for the unregistered offering and selling of securities in connection with its staking-as-a-service program.

Deaton noted that the SEC approved Coinbase to go public, only to sue them two years later for having an illegal business model.

SEC v Coinbase: The Motion to Dismiss

In August, Coinbase filed a motion to dismiss (MTD), arguing the SEC lacks statutory authority over crypto exchanges. Republican Senator Cynthia Lummis supported the MTD, filing an Amicus Curiae Brief.

Judge Katherine Failla will hear oral arguments on the MTD on January 17, which could materially impact the SEC’s enforcement approach. Nonetheless, the risk of a Democratic Party clean sweep and Sen. Warren’s Digital Asset Anti-Money Laundering Act making progress lingers.

Addressing the anti-crypto movement and the unseating of Senator Warren would be a boon for XRP and the broader crypto market.

XRP Price Action

Weekly Chart sends bullish price signals.
XRPUSD 050124 Weekly Chart

Daily Chart

XRP remained below the 50-day EMA while sitting above the 200-day EMA, sending bearish near-term but bullish longer-term price signals.

An XRP move through the 50-day EMA would bring the $0.6364 resistance level into play.

On Friday, US lawmaker chatter, SEC activity, BTC-spot ETF-related updates, and SEC vs. crypto case-related news remain focal points.

However, a fall through the $0.5835 support level would give the bears a run at the 200-day EMA.

The 14-day RSI reading, 39.60, suggests an XRP break below the 200-day EMA before entering oversold territory.

XRP Daily Chart sends bearish near-term price signals.
XRPUSD 050124 Daily Chart

4-Hourly Chart

On the 4-hourly, XRP remained below the 50-day and 200-day EMAs, affirming bearish price signals.

An XRP return to the $0.60 handle would support a move to the 50-day and 200-day EMAs. A break above the EMAs would bring the $0.6354 resistance level into play.

However, a fall through the $0.5835 support level would give the bears a run at the $0.5470 support level.

The 4-hourly RSI, with a reading of 37.93, suggests an XRP break below the $0.58 handle before entering oversold territory.

XRP 4-Hourly Chart affirms bearish near-term price signals.
XRPUSD 050124 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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