What Are the Possible Factors Behind XRP’s Decline Today?
As the SEC vs. Ripple lawsuit reaches a crucial stage, both parties are diligently preparing briefs related to remedies. This indicates significant progress in the legal proceedings, with impending deadlines shaping the course of the case. Notably, the SEC’s filing is due on March 13, followed by opposing motions on April 12, and final remedies submissions on April 29. Therefore, by April 29th, the court is expected to determine the penalties for Ripple’s alleged institutional sales of XRP, potentially bringing an end to the long legal battle. However, in a recent development that goes beyond Ripple vs. SEC, the SEC finds itself entangled in another legal dispute. Here’s a summary of what happened and its impact on XRP.
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XRP’s price drops below $0.55 amid ongoing developments in the SEC vs. Ripple lawsuit. The court’s determination of penalties on March 13 is a pivotal deadline. Meanwhile, the LEJILEX crypto exchange and the Crypto Freedom Alliance of Texas (CFAT) have filed a lawsuit against the SEC, challenging the classification of digital asset sales. Their lawsuit seeks a declaration affirming that secondary-market sales of digital assets, including those conducted by LEJILEX, are not considered securities sales. This groundbreaking lawsuit underscores the increasing tensions between regulators and the crypto industry as stakeholders strive for clarity in the regulatory landscape. Ripple has already set an example in the industry by successfully fighting against the SEC, and this case will further support efforts to protect crypto from SEC manipulation.
XRP is poised for further price correction. Investors and experts closely monitor the price movements of XRP. Despite falling below $0.55, the sixth-largest cryptocurrency remains competitive. Analysts suggest that if XRP continues to decline, it may test the 23.6% Fibonacci level at $0.5219. However, indicators like the Moving Average Convergence/Divergence (MACD) point towards positive developments, and the Awesome Oscillator (AO) suggests a potential change in the asset’s price trend.
Moving forward, market participants closely observe XRP’s behavior, particularly its ability to rebound and regain support levels, ultimately aiming for an upward trajectory. If XRP manages to recover, it could potentially retest the 78.6% Fibonacci retracement level at $0.6073.
On the other hand, a sustained drop below $0.5219 may lead to further correction, possibly resulting in a decline to $0.50. Nonetheless, optimism remains high that XRP can recover its losses once it surpasses this critical threshold.
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Crypto news
Ripple (XRP)