SEC Case Against Ripple Now Slated to End in 2023, Pressuring XRP

Key Insights:

• Both parties agree to closing briefs just before Christmas, ending hopes of a summer conclusion.
• The latest delay follows Judge Netburn’s ruling in favor of the SEC to allow further expert testimony.
• Key technical indicators bearish. XRP sits below the 50-day EMA after a fourth consecutive day in the red.

It’s been a bearish week for XRP.

On Saturday, XRP fell by 1.70%. Following a 2.06% decline on Friday, XRP ended the day at $0.7055.

XRP tracked the broader crypto through the week, with market risk aversion weighing on the crypto market.

News updates on the Ripple v SEC also weighed on XRP, which has tested support at $0.70.

SEC and Ripple Lab Executives Agree to Lengthy Extension

On Saturday, defense attorney James Filan shared a letter of both parties agreeing to new scheduling dates.

The letter to Judge Sarah Netburn requests,

• “Motions for summary judgment Rule 56.1 Statements and motions to exclude expert testimony must be filed by August 2, 2022.
• Oppositions to any motions for summary judgment, response to Rule 56.1 Statements, and responses to motions to exclude testimony must be filed by November 2, 2022.
• Replies to any opposition must be filed by December 20, 2022.”

Additionally, the letter states that,

“This schedule would not apply to any motions to exclude the expert testimony of Anthony M. Bracco, who offered testimony about the remedies available in this case.”

#XRPCommunity #SECGov v. #Ripple #XRP Parties file joint scheduling letter proposing opening briefs for summary judgment and expert challenges in August and closing briefs a few days before Christmas. pic.twitter.com/DBVkl3LQXU

— James K. Filan 🇺🇸🇮🇪90k+ (beware of imposters) (@FilanLaw) April 22, 2022

 

Filan also shared a tweet from Ripple defense lawyer Stuart Alderoty, who said,

“To all that have been following the case thus far – thank you. Know that Ripple is pushing hard (and the Court is working hard) to resolve the case as soon as possible, despite the SEC time and again doing everything they can to delay.”

#XRPCommunity #SECGov v. #Ripple #XRP Read this 👇 from @s_alderoty https://t.co/jljsmIi75A

— James K. Filan 🇺🇸🇮🇪90k+ (beware of imposters) (@FilanLaw) April 22, 2022

 

The latest delay follows the SEC’s request for an extension of time to file its objection to Judge Netburn’s ruling on the Motion of Reconsideration of the DPP Ruling.

Last week, the SEC won a minor victory, with Judge Netburn ruling in favor of the SEC.

Judge Netburn denied a Ripple Lab motion to strike a supplemental report filed by SEC expert Dr. Albert Metz. The SEC is looking to give Dr. Metz the opportunity to contest Ripple’s rebuttal experts, who concluded that Ripple’s public statements had a “modest” influence on XRP price moves.

While reactions to the latest timelines were mixed, the extension could provide an opportunity to settle.

XRP Price Action

At the time of writing, XRP was up 0.26% to $0.7073.

Technical Indicators

XRP will need to move through the $0.7117 pivot to target the First Major Resistance Level at $0.7204. XRP would need broader crypto market support to break out from $0.7150.

In the event of an extended rally, XRP should test the Second Major Resistance Level at $0.7353 and resistance at $0.75. The Third Major Resistance Level sits at $0.7589.

Failure to move through the pivot would bring the First Major Support Level at $0.6969 into play.

Barring an extended sell-off throughout the day, XRP should avoid sub-$0.69. The Second Major Support Level sits at $0.6881.

The EMAs and the 4-hourly candlestick chart (below) send a bearish signal. Following four consecutive days in the red, XRP sits below the 50-day EMA at $0.7411. This morning, the 50-day EMA pulled back from the 100-day EMA. The 100-day EMA also pulled back from the 200-day EMA, XRP negative.

A move through the 50-day EMA would support a shift in sentiment.