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XRP News Today: SEC Appeal Threatens XRP Gains – Is a Spot ETF Launch Still Possible?
By:
Key Points:
- XRP rises 0.37% to $0.5665; broader crypto market gains 1.13% to reach a $2.051 trillion market cap.
- Investors anticipate an SEC appeal in the Ripple case, as XRP retreats from $0.6434 to $0.56.
- XRP-spot ETF hopes remain uncertain amid SEC appeal threats; legal clarity awaited by ETF issuers.
In this article:
XRP Hovers Below $0.60
On Saturday, August 17, XRP advanced by 0.37%, following a 0.61% gain on Friday, August 16, to close at $0.5665. The broader crypto market increased by 1.13% to a total market cap of $2.051 trillion.
XRP Price Trends Signal Anticipation of an SEC Appeal
Speculation about an SEC appeal against rulings in the SEC vs. Ripple case persisted over the weekend.
On August 7, Judge Torres issued the final judgment, ordering Ripple to pay $125 million for breaching section 5 of the US Securities Act. Judge Torres also ordered Ripple to comply with the US securities laws.
Price trends suggest that investors expect an SEC appeal. On August 7, XRP reached a high of $0.6434 before retreating to the $0.56 level. XRP’s price trends followed a similar pattern to July 2023. On July 13, 2023, Judge Torres ruled that programmatic sales of XRP did not satisfy the third prong of the Howey Test.
XRP surged from below $0.50 to a high of $0.9327 in response to the Programmatic Sales ruling. However, fears of an appeal led to a fall back below $0.50.
The fact that the rally stalled at $0.6434 indicates investors expect an appeal.
On Thursday, Ripple Chief Legal Officer Stuart Alderoty discussed the Ripple case in an interview with CryptoLaw, saying,
“If the SEC were a rational actor, they should just move on from this case. […]. But we all know that, when it comes to crypto, the SEC has proven itself not to be rational. […] So, I wouldn’t be surprised if the SEC does appeal.”
Ripple and the SEC have 60 days from the final judgment to file appeals.
XRP-Spot ETF Hopes
The threat of an SEC appeal has also dampened hopes for XRP-spot ETF filings. ETF issuers may hold off on submitting applications until there is legal clarity. Applications for XRP-spot ETFs could boost XRP demand.
On November 13, 2023, XRP rallied from $0.6410 to $0.7503 on news of BlackRock (BLK) submitting an XRP-spot ETF application. However, the news was fake, leading to a pullback below $0.60.
In June, Ripple CEO Brad Garlinghouse predicted an XRP-spot ETF launch in 2025.
Considering price action from 2023, the end of SEC plans to appeal, and an XRP-spot ETF filing signal a move toward $1.00.
Investors should remain vigilant, with appeal updates likely to affect XRP price trends. Stay updated with our latest news and analysis to manage your exposure to XRP and the broader crypto market.
XRP Price Action
Daily Chart
XRP hovered above the 50-day and 200-day EMAs, confirming the bullish price trends.
A breakout from the $0.5739 resistance level could give the bulls a run at $0.60. Furthermore, a return to $0.60 could support a move toward the $0.6609 resistance level.
SEC vs. crypto case-related news and spot ETF-related chatter require consideration.
Conversely, a break below the 50-day and 200-day EMAs could signal a drop toward the $0.50 handle.
With a 14-day RSI reading of 49.88, XRP may drop to $0.50 before entering oversold territory.
About the Author
Bob Masonauthor
With over 20 years of experience in the finance industry, Bob has been managing regional teams across Europe and Asia and focusing on analytics across both corporate and financial institutions. Currently he is covering developments relating to the financial markets, including currencies, commodities, alternative asset classes, and global equities.
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