XRP News Today: Ripple’s Court Victory and Potential SEC Appeal Explained

XRP Struggles Amid Legal Uncertainties – Weekend Market Insights

XRP continues to struggle as legal battles loom. Here is what happened this Saturday. XRP declined by 0.55%. Reversing a 0.02% gain from Friday, June 21, XRP ended the session at $0.4866.

Will the California Courts Support an SEC Appeal?

On Friday, news of Ripple winning in the Californian courts attracted investor attention. The

The US courts dismissed the allegations that Ripple breached US securities laws, contrasting with the NY ruling that Ripple did breach US securities laws.

In July 2023, Judge Analisa Torres ruled that Ripple breached US securities laws for selling XRP to institutional investors. Ripple and the SEC await the court verdict on the penalty Ripple must pay for violating the US securities laws.

However, the cause of action for misleading statements concerning the offer or sale of securities under California state law will go to trial. The claim targets a 2017 statement where Ripple CEO Brad Garlinghouse stated,

“I’m long XRP, I’m very, very long XRP as a percentage of my personal balance sheet… [I am] not long on some of the other [digital] assets, because it is not clear to me what’s the real utility, what problem are they solving… if you’re solving a real problem, if it’s a scaled problem, then I think you have a huge opportunity to continue to grow that. We have been really fortunate obviously, I remain very, very, very long XRP, there is an expression in the industry HODL, instead of hold, it’s HODL… I’m on the HODL side.”

According to the court ruling, the plaintiff claims the statement was false because Garlinghouse sold millions of XRP on multiple crypto exchanges in 2017.

The plaintiff claims that the statement and the use of promotional materials meet the third prong of the Howey test, the expectation of profits due to the effort of others. A trial will decide.

Could California motivate the SEC to appeal the NY Programmatic Sales of XRP ruling if Ripple loses?

The SEC and the Programmatic Sales of XRP Ruling

Judge Phyllis Hamilton referred to the Programmatic Sales of XRP ruling in the court order. If Ripple loses the case regarding the third prong of the Howey test, the SEC could find justification in appealing against the Programmatic Sales of XRP ruling.

In July 2023, Judge Analisa Torres also ruled that programmatic sales of XRP do not satisfy the third prong of the Howey Test.

What does the latest Ripple court victory mean for the future of XRP? And could an SEC move shake the market?

If Ripple loses the California case, an SEC win on appeal could materially impact the outlook for XRP.

In conclusion, investors should brace for volatility as Ripple’s legal saga unfolds. The outcome of the California trial and potential SEC actions could influence the XRP price trajectory. Stay tuned for crucial updates.

XRP Price Action

Daily Chart

XRP remained comfortably below the 50-day and 200-day EMAs, affirming the bearish price signals.

An XRP move through the trend lines could give the bulls a run at the 50-day EMA. A break above the 50-day EMA could signal a climb to the 200-day EMA.

SEC vs. crypto case-related chatter requires investor consideration.

Conversely, an XRP break below the $0.48 handle could signal a drop to the $0.45 handle.

With a 14-day RSI reading of 43.12, XRP may drop to the $0.45 level before entering oversold territory.