- Technical analysis of the XRP twelve-hour chart. Possible gains ahead for the token.
- Latest developments in the SEC vs Ripple lawsuit.
- New partnership gives XRP a boost
YEREVAN (CoinChapter.com) — Despite the lengthy legal battle with the Securities and Exchange Commission (SEC), XRP, the native token of Ripple Labs blockchain company, flashed optimistic signs ahead on its twelve-hour chart. Vince Prince, a crypto analyst with a substantial media following, shared his analysis of the token. He spotted a descending wedge formation that could result in a trend reversal.
Bullish 12h chart
Since April, the falling wedge pattern has been in effect, with both trendlines locking XRP’s attempts for a break in either direction. However, the token managed an uptrend on June 29. A setback followed, and XRP fell back to the support indicated with a dashed line. After picking up again on July 3, the token gained 9 percent.
The falling wedge is a reversal pattern. XRP broke out of it with a bullish bias, and the analyst sees more gains ahead. Mr. Prince pinpointed the “target zone” for the price in the upcoming sessions at $0.90. If XRP reaches the target, it will gain an additional 30 percent.
As the native token of Ripple Labs, XRP depends not only on the general climate on the market but also on the court proceedings in the lawsuit against the company, filed by the SEC back in December 2020.
Also read: Cardano flashes conflicting technicals on the charts; what’s next for ADA?
Is Ripple gaining leverage against SEC?
In hindsight, the SEC accused the blockchain company and its present and former chief executives (Brad Grlinghouse and Chris Larsen, respectively) of fraudulently selling $1.3 billion worth of XRP as unregistered securities, thus violating US investment laws. In addition, the defendants claim that XRP cannot be considered securities if larger cryptos like Bitcoin and Ethereum are not.
Ripple Labs’ defense has tested many angles and managed to gain some leverage in the case. Magistrate Judge Sarah Netburn granted the company access to the regulator’s internal documentation containing mentions of XRP, or Bitcoin and Ethereum. However, the law enforcement agency failed to present them to court.
Also read: SEC vs. Ripple: Motion to quash ex SEC director’s deposition filed.
Ripple has previously won the right for an additional deposition of William Hinman, a former SEC official. The agency’s attempts to quash it seemed desperate to many, including James K. Filan, an attorney involved in the case. Mr. Filan tweeted the complete document of Ripple’s response on July 2.
Ripple’s response is based on the fact that despite the SEC’s assertions, Mr. Hinman does is not a high-ranking official, privileged with immunity to deposition. Moreover, as the document states: “Mr.Hinman has unique, first-hand knowledge relevant to claims and defenses in this case.”
The outcome of the lawsuit is not yet clear. However, like attorney Jeremy Hogan, some experts are convinced that it will end in a settlement sooner rather than later.
What else is driving XRP?
Despite the lawsuit, Ripple managed to benefit from an important partnership. SBI Holdings is a crucial financial institution leveraging the blockchain company. Its subsidiary, SBI Remit Co. Ltd, is starting a new partnership with Hamamatsu Iwata Credit Bank of Japan.
Also read: XRP boom expected as SBI enters Ripple-enabled partnership with Hamamatsu Iwata Bank.
XRP exhibited bullish attempts to recover above the significant $1.00 value as the lawsuit drags on with no settlement in sight. Vince Prince spotted a bullish reversal pattern that could bring XRP an additional 30 percent gain in the upcoming sessions.
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