Yerevan (CoinChapter.com) – Ripple Lab’s native token XRP saw gains in the past few sessions after a significant lead in the lawsuit filed against it by the Securities and Exchange Commission (SEC). The upside trajectory changed course after an ambiguous tweet on Bitcoin (BTC) from Elon Musk.
The billionaire CEO of Tesla and SpaceX tweeted a Bitcoin hashtag along with a broken heart emoji. The tweet was enough to break the benchmark cryptocurrency’s bullish momentum and initiate a new wave of declines. As a result, BTC/USD lost 5 percent in the last 24 hours and traded under $37,000 in Friday’s early London session.
As the alpha crypto went down, it took smaller coins along for the ride. XRP also took the brunt owing to its higher positive correlation with Bitcoin — a 0.90 correlation efficiency, according to Correlation Watch — and fell by up to 15.89 percent from its Thursday peak level.
The token’s 20-day exponential moving average (EMA-20; the blue wave in the chart above) capped XRP’s bullish attempts. Traders also unloaded their long exposure near the $1.03-level, signaling a short-term bearish outlook. The horizontal level earlier served as support.
SEC vs Ripple
XRP’s gains preceding the infamous tweet were due to a positive spin in the SEC vs. Ripple lawsuit, initially filed in December 2020.
In hindsight, the law enforcement agency charged the Ripple CEO Brad Garlinghouse and the former CEO Chris Larsen, accusing them of selling $1.3 bn worth of XRP as unregistered securities, making a personal profit cheating investors worldwide.
The recent court proceedings, however, dealt Ripple a winning hand. Magistrate Judge Sarah Netburn granted the company permission to access the SEC’s internal documentation concerning the definitions the agency used while mentioning various cryptocurrencies.
She also denied the Commission’s motion to access documents containing legal advice that the startup received on whether or not the initial XRP offering was compliant with US investment laws.
In the latest development, both parties refused to back down. As a result, Ripple Labs filed a request to involve offshore exchanges (iFinex, Noah Trade, BGH One, Bitlish, BMXDM Technology, and others).
Clarity with regards to the SEC vs Ripple case is by far the most anticipated event in #crypto history
The conclusion of the case will be the Spark that sets the ignition of #XRP alight
In addition, the company sought assessment on XRP’s status and assistance from local authorities of the respective countries (Singapore, Cayman Islands, Hong Kong, South Korea, the UK, Malta, and Seychelles).
The SEC, in its turn, filed a request to gain extension on both fact and expert discovery by 60 more days. Unfortunately, no official responses have been announced as of the moment on either of those requests.
XRP, as the native token of Ripple Labs, is dependant on the lawsuit. The token gains from any courtroom win. The latest victory was not an exception. However, as an altcoin, it is also dependant on Bitcoin. BTC’s setback rained on XRP’s parade, as the latter saw a 9.6 percent loss. The upcoming sessions will tell if the token would be able to recover.
Lilit is a Yerevan-based Markets writer, skilled in 3 languages, and interested in writing about the tech world, trading, art, and science. She also has a background in psychology and marketing, which helps deliver the right message to the target audience.
Cardano prices jumped more than 30% over the weekend. However, bears seemed to have moved in as ADA started...
Our Partners
We use cookies on our website to give you the most relevant experience by remembering your preferences and repeat visits. By clicking “Accept”, you consent to the use of ALL the cookies.
This website uses cookies to improve your experience while you navigate through the website. Out of these, the cookies that are categorized as necessary are stored on your browser as they are essential for the working of basic functionalities of the website. We also use third-party cookies that help us analyze and understand how you use this website. These cookies will be stored in your browser only with your consent. You also have the option to opt-out of these cookies. But opting out of some of these cookies may affect your browsing experience.
Necessary cookies are absolutely essential for the website to function properly. These cookies ensure basic functionalities and security features of the website, anonymously.
Cookie
Duration
Description
cookielawinfo-checbox-analytics
11 months
This cookie is set by GDPR Cookie Consent plugin. The cookie is used to store the user consent for the cookies in the category "Analytics".
cookielawinfo-checbox-functional
11 months
The cookie is set by GDPR cookie consent to record the user consent for the cookies in the category "Functional".
cookielawinfo-checbox-others
11 months
This cookie is set by GDPR Cookie Consent plugin. The cookie is used to store the user consent for the cookies in the category "Other.
cookielawinfo-checkbox-necessary
11 months
This cookie is set by GDPR Cookie Consent plugin. The cookies is used to store the user consent for the cookies in the category "Necessary".
cookielawinfo-checkbox-performance
11 months
This cookie is set by GDPR Cookie Consent plugin. The cookie is used to store the user consent for the cookies in the category "Performance".
viewed_cookie_policy
11 months
The cookie is set by the GDPR Cookie Consent plugin and is used to store whether or not user has consented to the use of cookies. It does not store any personal data.
Functional cookies help to perform certain functionalities like sharing the content of the website on social media platforms, collect feedbacks, and other third-party features.
Performance cookies are used to understand and analyze the key performance indexes of the website which helps in delivering a better user experience for the visitors.
Analytical cookies are used to understand how visitors interact with the website. These cookies help provide information on metrics the number of visitors, bounce rate, traffic source, etc.
Advertisement cookies are used to provide visitors with relevant ads and marketing campaigns. These cookies track visitors across websites and collect information to provide customized ads.