XRP News Today: SEC v Ripple Case Developments Dominate Amid Bitcoin Rally

The Monday Overview

On Monday, XRP gained 1.53%. Reversing a 0.46% loss from Sunday, XRP ended the Saturday session at $0.5510.

Bitcoin Fuels Broad-Based Crypto Rally

On Monday, bitcoin (BTC) climbed to a session high of $54,893 before easing back below the $54,500 handle. BTC rallied 5.35% on Monday, ending the session at $54,463.

Investor sentiment toward the BTC-spot ETF market fueled a Monday breakout. BTC last visited the $55,000 handle on December 3, 2021. Since the launch of the Nine, total net inflows reached $5,630.1 million last week. Excluding Grayscale Bitcoin Trust (GBTC) outflows, the Nine saw total net inflows of $13,073.1 million.

Comparisons to the Gold ETF market continued, reigniting the debate about BTC and its safe haven status.

However, XRP trailed the broader crypto market, with the ongoing SEC v Ripple case an XRP headwind. On Monday, the total crypto market cap gained 4.15%, ending the session at $2,021 billion. The crypto market cap last reached $2,000 billion in April 2022.

The Programmatic Sales of XRP Ruling and the SEC

There were no updates from the ongoing SEC v Ripple case to draw investor interest. However, uncertainty about SEC plans to appeal the Programmatic Sales of XRP ruling continued to cap XRP gains.

According to the court briefing schedule, the next significant date is March 13, 2024. The SEC must file its remedy-relate brief by March 13. The SEC will likely argue for a punitive penalty for Ripple selling unregistered XRP to US institutional investors. Ripple breached Section 5 of the US Securities Act for failing to register XRP as a security.

Ripple must file its remedy-related brief by April 12. The size of the penalty will likely hinge on net proceeds from XRP sales to non-exempted US institutional investors. Judge Torres will consider XRP sales proceeds before and after the complaint.

The outcome of the SEC v Ripple case will warrant investor attention. However, the SEC has several cases ongoing against crypto exchanges for selling unregistered securities. SEC v Coinbase (COIN) is the most high-profile case, the outcome of which may have more impact on the US digital asset space.

However, the SEC is unlikely to accept losses against crypto firms. With deep pockets, the SEC can appeal each loss in the courts.

SEC plans to appeal the Programmatic Sales ruling leave XRP below the $0.70 handle. XRP last visited the $0.70 handle in December 2023.

For XRP Community, SEC plans to appeal the Programmatic Sales ruling could leave an XRP-spot ETF market on ice. However, a Coinbase victory against the SEC could end SEC plans to appeal against the ruling and expedite filings for XRP-spot ETFs.

SEC v Coinbase: The Motion to Dismiss Ruling

Coinbase filed a Motion to Dismiss (MTD) in August, arguing the SEC lacks the statutory authority to regulate US crypto exchanges. In January, Judge Katherine Failla heard oral arguments from the SEC and Coinbase. Legal experts believed Coinbase delivered more convincing arguments, tilting the scales toward a Coinbase victory.

A court ruling on the Coinbase MTD could come at any time. However, SEC appeals against the Programmatic Sales of XRP ruling and a Coinbase loss could keep the courts busy well into 2026.

XRP Price Action

Daily Chart

XRP hovered above the 50-day EMA while remaining below the 200-day EMA, sending bullish near-term but bearish longer-term price signals.

An XRP break above the 200-day EMA would support a move toward the $0.5835 resistance level.

SEC v Ripple and SEC v Coinbase case-related updates need consideration.

However, a break below the 50-day EMA and $0.5470 support level would give the bears a run at the $0.5042 support level.

The 14-day RSI reading, 54.24, indicates an XRP move to the $0.5835 resistance level before entering overbought territory.

4-Hourly Chart

On the 4-hourly, XRP sat above the 50-day and 200-day EMAs, sending bullish price signals.

An XRP return to the $0.56 handle would give the bulls a run at the $0.5835 resistance level.

However, a break below the $0.5042 support level would bring the 50-day and 200-day EMAs into play.

The 4-hourly RSI, with a reading of 57.59, indicates an XRP move to the $0.5835 resistance level before entering overbought territory.