XRP Price Prediction: Ripple Nears $50M SEC Settlement as XRP Falls Below $2.14 Trendline
Ripple and the SEC may be nearing the end of their long legal battle. Recent legal activity and comments from XRP...
Quick overview
- Ripple and the SEC may soon resolve their legal battle, with a potential resolution expected in weeks.
- Both parties have agreed on a joint motion for an indicative ruling, following a recent settlement agreement.
- Despite positive legal developments, XRP's price has turned bearish, breaking below key support levels.
- The outcome of the Ripple case could significantly impact the broader crypto market, particularly regarding compliance for securities.
Ripple and the SEC may be nearing the end of their long legal battle. Recent legal activity and comments from XRP attorneys suggest a resolution could come in a matter of weeks.
According to attorney Bill Morgan, both Ripple and the SEC have agreed on a joint motion for an indicative ruling. This follows Ripple’s April 23 settlement agreement and the SEC’s joining of the deal on May 8. The court, led by Judge Analisa Torres, denied the initial motion but the parties quickly refiled on June 12 and a status report on June 16.
Attorney John Deaton estimates there’s a 70% chance the judge grants the motion. If so, Ripple will pay a $50M penalty (much lower than originally proposed) and both parties will request a limited remand to finalize terms and dismiss the appeals in the Second Circuit.
Ripple’s Legal Timeline
- April 23: Ripple signs $50M settlement agreement
- May 8: SEC joins and seeks indicative ruling
- June 12: Joint motion refiled after initial rejection
- June 16: Status report requests stay of appeals
This quick process is designed to resolve the injunction phase and give XRP legal clarity that will impact the broader crypto space.
XRP Price Breaks Down
Despite the positive legal news, XRP/USD price turned bearish. XRP/USD broke below the ascending trendline support at $2.14 on the 2-hour chart. This level had been support since June 13. Now at $2.13, the pair is showing more downside.
Multiple attempts to get back above $2.20 failed where the 50-EMA ($2.19) and 200-EMA ($2.21) are resistance. These moving averages are starting to slope down – a bearish trend signal.
The MACD is widening and the bearish engulfing candle below the trendline shows strong selling conviction. Traders should note:
- Key support at $2.08 and $2.05
- Bearish momentum confirmed by negative MACD divergence
- Short positions target $2.08 with stops above $2.17
A close above $2.20 would reverse the sentiment and re-establish the bullish structure.
Next Steps
The Ripple case has broader market implications. If it settles with a clear path to compliance for securities, it will help institutions. But for now, XRP has to get through the technicals. Until price gets back above levels, the market is still cautious despite the court news.
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