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XRP News: SEC Chair Gary Gensler Retargets Crypto Fraudsters

By:
Bob Mason
Published: Dec 22, 2023, 02:43 UTC

The crypto community brushed aside the latest anti-crypto move by the SEC, with progress toward a BTC-spot ETF market delivering session gains.

XRP News

In this article:

Key Insights:

  • XRP increased by 1.28% on Thursday, ending the session at $0.6244.
  • Optimism toward the SEC approving a batch of BTC-spot ETFs in January drove buyer demand for cryptos.
  • On Friday, crypto-spot ETF-related news, SEC v crypto case-related updates, and US regulatory activity remain the focal points.

The Thursday Overview

On Thursday, XRP rose by 1.28%. Following a 1.90% gain on Wednesday, XRP ended the day at $0.6244.

SEC Chair Gensler Targets the Crypto Market

SEC Chair Gary Gensler was in the spotlight on Thursday. The SEC Chair took a swipe at the crypto market with a pre-holiday post on X (formerly Twitter), saying,

“There is a lot of noncompliance in the crypto space. It undermines confidence when so many people have been hurt and all they can do is stand in line in the bankruptcy court. Further, this can make it hard for the good faith actors to compete.”

The SEC Chair shared a speech from December 14, which focused on noncompliance in the crypto space. Gensler had this to say,

“There’s a lot of noncompliance. Noncompliance with the securities laws that are there to help give you the disclosure so you can make the investment decision but also to protect you against fraud and manipulation. And there’s been far too much fraud and bad actors in the crypto field. There’s a lot of noncompliance, not only with the securities laws but other laws around anti-money laundering and protecting the public.”

Gensler went on to say,

“This is really the Wild West and it’s around the globe. I would say again that this is a small part of our US capital markets but it can undermine confidence when so many people have been hurt and all they can do is then stand in line at a bankruptcy court. And it’s not just one actor and it’s not just, oh it’s a few bad actors over here. This is something that pervades a lot of this field globally.”

The SEC chair concluded,

“And it’s hard for the good faith actors even to compete because there are so many challenges elsewhere.”

The post and comments from the Gensler interview riled the the crypto community.

Ripple CEO Brad Garlinghouse Hits Back at Gensler’s Comments

Brad Garlinghouse responded to the Gary Gensler post, saying,

“Stunning hypocrisy from the person who cozied up to the biggest fraud in recent memory. Gensler is a political liability whose actions have decimated consumers and destroyed the integrity of the SEC, while remaining buddy-buddy with Wall Street.”

The latest SEC Chair swipe at the crypto market follows increased anti-crypto rhetoric from Capitol Hill. Last week, the SEC denied the Coinbase (COIN) petition for rulemaking.

Significantly, Gensler continued to pigeonhole cryptos as securities despite the July 2023 Programmatic Sales of XRP ruling.

Senator Elizabeth Warren, SEC Chair Gensler, and the US banking fraternity are unlikely to take their foot off the gas. However, Senator Warren’s Digital Asset Anti-Money Laundering Act will unlikely progress through Congress until 2025. In 2025, support for the bill will hinge on the outcome of the US Presidential Election.

In the meantime, progress toward a crypto-spot ETF market, the SEC v Ripple case, and a likely appeal against the Programmatic Sales ruling will influence XRP price trends.

Bets on the SEC approving a batch of BTC-spot ETFs in January drove buyer demand for cryptos on Thursday.

XRP Price Action

Weekly Chart sends bullish price signals.
XRPUSD 221223 Weekly Chart

Daily Chart

XRP sat above the 50-day and 200-day EMAs, sending bullish price signals.

An XRP break above the $0.6354 resistance level would support a move toward the $0.7047 resistance level.

Crypto-spot ETF-related news, SEC v Crypto case-related updates, and US regulatory activity are focal points.

However, a fall through the 50-day EMA would bring the $0.5835 support level into play.

The 14-day RSI reading, 50.72, suggests a move to the $0.65 handle before entering overbought territory.

XRP Daily Chart affirms bullish price signals.
XRPUSD 221223 Daily Chart

4-Hourly Chart

On the 4-hourly, XRP held above the 50-day and 200-day EMAs, affirming bullish price signals.

An XRP move through the 0.6354 resistance level would bring the $0.7047 resistance level into play.

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

The 4-hourly RSI, with a reading of 60.20, suggests an XRP break above the $0.6354 resistance level before entering overbought territory.

XRP 4-Hourly Chart reaffirms bullish price signals.
XRPUSD 221223 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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