XRP News Today: XRP Gains Despite SEC Appeal Threat as BTC Eyes New ATH

SEC vs. Ripple: Market Optimism Amid Appeal Speculation

On Sunday, October 20, the SEC’s appeal against rulings in the Ripple case influenced XRP demand.

Ripple Chief Legal Officer Stuart Alderoty remarked on the SEC’s appeal strategy, stating,

“The 2nd Circuit will either affirm Judge Torres or expand her ruling. The best the SEC can hope for (and it’s a remote hope) is a remand.”

A remand could result in the case being sent back to Judge Analisa Torres for further proceedings. Markets might perceive a remand as a setback for the SEC. In August 2023, the SEC filed a Motion for Interlocutory Appeal, requesting the court’s permission to appeal the Programmatic Sales of XRP ruling. Judge Torres rejected the Motion for Interlocutory Appeal in October 2023.

John E. Deaton, attorney and Senate candidate, remarked on Judge Torres’s ruling, saying,

“And let me add, my very quick perusal of her order is UNTOUCHABLE. And yes, evidence submitted by XRP holders make another appearance in this decision – in her findings of fact – that she relied on.”

Deaton represented 75,000 XRP holders during the Ripple case, playing an instrumental part in the Programmatic Sales ruling.

The Impact of the SEC Appeal on XRP Prices

On October 17, the 2nd Circuit acknowledged receipt of the SEC’s Civil Appeal Pre-Argument Statement (Form C), albeit one day after the deadline. Speculation about whether the court might reject the SEC’s appeal drove XRP to $0.5668 before retreating.

XRP price trends do not appear to reflect Stuart Alderoty’s optimism about the SEC’s appeal.

If the SEC successfully overturns the programmatic Sales ruling, US crypto exchanges could de-list XRP to avoid breaching US securities laws. This would likely impact adoption and buyer demand. For the broader crypto market, an SEC win could have broader implications for ongoing crypto cases, including the Coinbase and Binance cases.

XRP Price Action

On Sunday, October 20, XRP advanced by 0.70%, recovering a 0.58% loss from the previous session, closing at $0.5480. Significantly, XRP hasn’t closed above the $0.55 level since October 1, the day before the SEC filed its Notice of Appeal.

Uncertainty about the outcome of an SEC appeal will remain an XRP headwind. XRP could mirror the July 2023 rally to $0.9327 if the 2nd Circuit rejects the SEC’s Form C for being late. Conversely, XRP may drop below $0.50 if the SEC offers sound arguments for challenging the Programmatic Sales ruling.

Bitcoin Eyes $70,000 on Demand

While XRP lingered below the $0.55 level, BTC continued to move toward its March 14, 2024, all-time high of $73,808.

A surge in US BTC-spot ETF market inflows drove BTC toward $70,000. In the week ending October 18, the US BTC-spot ETF market registered total net inflows of $2,129.6 million, its highest since March 2024. Significantly, BlackRock’s (BLK) iShares Bitcoin Trust (IBIT) had net inflows of $1,141.1 million.

The marked increase in inflows coincided with the SEC approving Bitcoin ETF options. BTC ETF options are another BTC product for investors to gain exposure, a positive step for BTC’s move to become a mainstream asset class.

However, rising bets on a November Fed rate cut and a soft US economic landing have also fueled BTC demand. On Monday, October 21, investors should consider the US economic calendar. FOMC member speeches may influence sentiment toward the Fed rate path and US BTC-spot ETF market inflows.

Support for November and December Fed rate cuts could drive BTC through $70,000. However, Fed speakers must align with expectations of a soft US economic landing to boost BTC demand. Fears of a hard landing and calls for aggressive Fed rate cuts could spook investors.

Bitcoin (BTC) Price Action

On Sunday, BTC advanced by 0.72%, recovering a 0.17% loss from the previous session, closing at $68,773. Significantly, BTC held onto the $68,000 handle for the first time since June 12, 2024.

On Monday, October 21, US BTC-spot ETF market flow trends remain crucial in the near term.