XRP News Today: SEC Settlement Talks Lift XRP – A Turning Point?

On Saturday, July 20, XRP gained 3.61%. Following a 0.54% rise on Friday, July 19, XRP closed the session at $0.5939.

SEC vs. Ripple: Possible Settlement

On Saturday, July 20, investors reacted to news of the SEC rescheduling its July 18 closed meeting to July 25. The SEC’s Sunshine Act Notice fueled market speculation about a possible settlement in the Ripple case.

• Institution and settlement of administrative proceedings.
• Resolution of litigation claims.
• Other matters relating to examinations and enforcement proceedings.

According to the Sunshine Act, the SEC must provide notice of meetings and a general agenda. The Act does not require the SEC to disclose an attendee list. The agenda is broad and could include settlement talks with Ripple.

This week, Ripple CEO Brad Garlinghouse skirted a question about settlement talks, saying he could not discuss it.

In a settlement, the SEC and Ripple would agree on the penalty Ripple must pay for violating US securities laws. In July 2023, Judge Analisa Torres ruled that Ripple breached US securities laws for selling unregistered XRP to institutional investors. A remedies-related court verdict is imminent.

Settlement and Legal Precedent

If the SEC settles with Ripple, it cannot appeal the court rulings from the case. Significantly, the SEC could not challenge the Programmatic Sales of XRP ruling. In the July 2023 ruling, Judge Torres surmised that programmatic sales of XRP do not satisfy the third prong of the Howey Test.

A settlement could mean the Programmatic Sales ruling sets a precedent for other crypto-related cases. It would be a big win for Ripple and the US digital asset space.

In June 2024, the presiding Judge in the SEC vs. Binance case cited the Programmatic Sales of XRP ruling. She dismissed the SEC charges against Binance, claiming that secondary sales of binance coin (BNB) qualify as securities under the Howey test. Judge Amy Berman Jackson stated,

“The court is inclined to agree with the approach of the court in Ripple Labs, since the ‘it-is-what-it-is’ approach of the SEC appears to be inconsistent with the clear Supreme Court directives […].”

XRP Price Impact and Outlook

A settlement could boost demand for XRP and support a move toward $1.00. On July 13, 2023, XRP rallied to a high of $0.9327 in reaction to the court rulings. However, the threat of an SEC appeal dragged XRP below $0.50 in August 2023.

Investors should remain alert as the SEC vs. Ripple case remains crucial for XRP price trends. Stay updated with our latest news and analysis to manage exposures to XRP and the broader crypto market.

XRP Price Action

Daily Chart

XRP remained well above the 50-day and 200-day EMAs, affirming the bullish price signals.

A breakout from $0.60 could give the bulls a run at the $0.6609 resistance level. An XRP move through the $0.6609 resistance level could signal a climb toward the $0.70 handle.

SEC vs. crypto case-related updates require consideration.

Conversely, an XRP drop below the $0.5739 supported level could signal a fall toward the 200-day EMA.

With a 14-day RSI reading of 66.49, XRP could break above the $0.60 handle before entering overbought territory.