The price of XRP has risen about 30% in less than a week, owing to positive emotion surrounding a court case in which the Securities and Exchange Commission (SEC) believes Ripple traded XRP as illegal securities.
According to court filings, Judge Analisa Torres has granted Ripple permission to respond to the SEC’s Memorandum of Law in support of the Motion to Strike fair notice defense. Judge Torres also ordered the unsealing of three papers related to the SEC vs. Ripple lawsuit, including Ripple’s CEO Brad Garlinghouse’s email thread and deposition notice, as well as the email string of founder Chris Larsen.
The orders of Judge Torres were well received by the markets. XRP’s price rose by about 30% shortly after they made it to the finish line, climbing from $0.58 to $0.782 on February 7.
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More Downside For XRP Price Before the Final Win
According to a well-known cryptocurrency analyst, XRP will soar after the litigation between Ripple Labs and the US SEC is resolved, although the additional decline is conceivable until then.
Credible Crypto, a pseudonymous analyst, says XRP’s technicals are currently indicating more bearish activity in an interview with Thinking Crypto.
“I think that we’re probably going to go for these lows here ($0.50) and push into… this weekly level of demand that we have here.”
This level is notable because after what was effectively six months of consolidation, we saw a strong move to the upside from this level.
The analyst says, when this consolidation begins to break, whether to the upside or downside, the genesis of the break often works as support or resistance when it is revisited. So, purely from a long-term view, you can assume that this region in general, and the closer we get to it, this broad region will operate as support, as it has in the past.
Despite the current price decline, Credible Crypto believes there are compelling fundamental reasons to hold XRP. According to the crypto analyst, the lawsuit between Ripple Labs and the Securities and Exchange Commission (SEC), which was filed in December 2020 on allegations that XRP was sold as an unregistered security, could provide regulatory clarity for the token while the rest of the market remains in limbo.
Source: https://coinpedia.org/altcoin/xrp-price-may-plunge-to-0-5-again/