Hinman’s Deposition at SEC vs. Ripple Today: How is XRP Likely to Move?
Ripple's XRP is holding steady in early trading on Monday as investors cautiously focus their attention on the upcoming deposition of former
Ripple’s XRP is holding steady in early trading on Monday as investors cautiously focus their attention on the upcoming deposition of former SEC executive scheduled for later in the day before entering new positions. At the time of writing, XRP/USD is trading around $0.57.
While XRP has been exhibiting signs of weakness over the past several sessions, dragged lower by the bearish mood in the wider crypto market, the absence of developments in the lawsuit between Ripple and the SEC have also been keeping the cryptocurrency under pressure lately. However, things turned interesting late last week after Judge Netburn turned down the Commission’s objections to Ripple’s request for deposing William Hinman, the former SEC executive who had previously argued about why Ethereum should not be considered a security.
However, there are also some XRP holders who allege that Hinman’s connections with Ethereum could make him biased against Ripple in the case. Prior to his employment at the SEC and after retirement again, Hinman has been a partner at Simpson Thacher – a law firm that sits on the Enterprise Ethereum Alliance, a coalition that aims to drive adoption of the blockchain network among organizations.
Looking ahead, in addition to the lawsuit, moves in Ripple’s XRP could be dictated by the investor sentiment towards cryptocurrencies, which at the moment remains tilted to the downside. Several analysts foresee an extended period of weakness in crypto king Bitcoin, which as we know, has an effect on the price action in other digital currencies across the board.
After sliding towards the $31,000 market, some investors forecast a fall below the key $30,000 level for BTC, which would strengthen the downtrend in the overall crypto market. In case this happens, XRP could face more downward pressure in the near term.
Key Levels to Watch
Taking a look at the H4 chart of XRP/USD, we can see moving averages and the momentum indicator signal a bearish bias. However, there seems to be some buyers looming as well, as suggested by the MACD indicator.
XRP’s price is holding under the pivot point at $0.60, although the support at $0.54 is working well at the moment. Further weakness, however, could see Ripple’s cryptocurrency head to further lows under this level, possibly towards the next support at $0.50.
On the other hand, if we get some interesting developments at Hinman’s deposition later in the day, XRP could reverse and head higher, breaking past the pivot to test resistance at $0.64.
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