- SEC’s spokesperson has disclosed that the Commission finds the 2023 XRP ruling by Judge Analisa Torres a huge contradiction to a decade-long legal precedent set by the Supreme Court.
- An analyst has predicted that the SEC’s appeal may not prevent the XRP from setting a new all-time high price.
The US Securities and Exchange Commission (SEC) and Ripple Labs is set to continue its round of legal proceedings after the Commission submitted a notice of appeal to the States Court of Appeals for the Second Circuit. As we reported on October 3, Ripple has pledged to take its defense to the wire.
Details Coming Up
CNF reported last year that US District Court Judge Analisa has ruled that the sales of XRP to retail investors through exchanges do not violate any federal securities law. More than a year after this historic ruling, the SEC appears not satisfied as a spokesperson discloses that the ruling contradicts the legal precedent set by the Supreme Court. Meanwhile, speculations of internal disagreement concerning the Ripple case have started erupting as a renowned Enforcement Director of the SEC, Surbir S. Grewal, announces his resignation.
Responding to the appeal, Ripple CEO Brad Garlinghouse labeled the decision as “irrational”, claiming the Commission has dented its reputation and integrity.
While we’ll fight in court for as long as we need, let’s be clear: XRP’s status as a non-security is the law of the land today – and that does not change even in the face of this misguided – and infuriating – appeal. Remember, when the SEC tried unsuccessfully to file an “interlocutory appeal” they made clear they had no intention of challenging XRP’s status as a non-security.)
According to Ripple’s Chief Legal Officer (CLO) Stuart Alderoty, this decision to appeal is not surprising, but disappointing as this underscores the Commission’s interest in engaging in “litigation warfare against the industry” instead of applying the law. With that, Alderoty disclosed that Ripple may file a cross-appeal.
We are evaluating whether to file a cross-appeal. Either way, the SEC’s lawsuit has been irrational and misguided from the start, and we’re ready to prove that yet again in the appellate court (once again taking the lead for the industry).
Analyst Bullish on XRP
Regardless of the current situation, crypto analyst Bobby A has hinted that technical indicators and macro charts show a bullish outlook. According to him, situations like the SEC’s appeal usually push uninformed investors out of the market to miss out on the subsequent bull run. Citing previous scenarios, Bobby A highlighted the XRP’s upsurge from $0.11 to $1.95 despite the 2020 lawsuit.
Reviewing his analysis, CNF observed that the analyst expects the current cycle to mirror the 2016-2017 movement.
Much like during 2016, the price is tightly wound around all essential higher timeframe moving averages, including the median line of the monthly Bollinger Bands.
Strengthening his position, Bobby A hinted that the possible re-election of Donald Trump and the current fundamentals of XRP could position the price to a new all-time high level.
As mentioned above, the XRPETH and XRPBTC charts do not look like this is the start of a long, drawn-out bear market but, instead, possible capitulation at deep value areas.
At press time, XRP was trading at $0.53 after declining by 13.8% in the last seven days.
