Ripple (XRP) price approaches a key resistance area, putting the XRP price in a make-or-break situation. The US SEC appeal deadline on October 7 will decide if XRP will crash or climb higher. While the XRP community believes there won’t be an appeal from the US Securities & Exchange Commission (SEC), a former SEC Lawyer and pro-XRP attorney thinks the SEC appeal will come.
XRP Price Correction Likely as Experts Believe SEC Will Appeal
XRP vs. SEC Lawsuit has been a hot topic even after Judge Analisa Torres ruled in favor of Ripple in July 2023. The latest discussion has been surrounding the potential SEC appeal that will contest the said ruling. While the XRP community believes there won’t be an appeal from the SEC, two experts believe otherwise.
Fox Journalist Eleanor Terette posted on X about her conversation with a former SEC lawyer who believes that the SEC will “probably” appeal the July 2023 ruling. The ex-SEC employee added,
“Everyone over there [at the SEC] truly believes that the decision is wrong, that it’s not good law, and should be appealed”
Pro-XRP lawyer John Deaton echoed with Elanor Terette’s X post and former SEC Lawyer and mentioned that there could most likely be an appeal from SEC chair Gary Gensler. Death explained that an appellate court won’t rule Judge Torres was in error, however, even if they did, the SEC still wouldn’t win the case. The pro-XRP lawyer added that the SEC’s weakest argument is the “common enterprise” factor, which Judge Torres didn’t need to apply since the third prong of the Howey Test wasn’t satisfied.
Regardless, both John Deaton and the pro-XRP lawyer believe that the SEC appeal will come before the October 7 deadline.
XRP Price Prediction: 25% Crash Likely on SEC Appeal
Since the September 6 crash, XRP price has soared 23% and currently trades at $0.618. Although an uptrend from here is unlikely, XRP price prediction notes that a correction is brewing for Ripple.
Here are two reasons why XRP price could crash:
- XRP trades below the $0.639 resistance level that has prevented a breakout for the past seven months. The yearly VWAP level also coincides closely with the above level, making it a tough level to crack.
- The SEC appeal anticipation serves as a headwind and could discourage buyers, preventing XRP price from rallying higher.
As a result of these two reasons, Ripple’s price could crash soon. Therefore, investors must keep a close eye on the $0.639 resistance level. Rejection here could lead to a 25% correction to the support level at $0.469.
The Relative Strength Index (RSI) and Awesome Oscillator (AO) are both hovering around their respective mean levels of 50 and 0, respectively, for the past few days, signaling indecision. As mentioned above, the SEC appeal will be the deciding factor that could crash or propel XRP.
On the other hand, if XRP price manages to flip the $0.635 resistance level into a support floor, it would signal strength. Such a development could occur if the SEC does not appeal. In such a case, Ripple could shoot through $0.636 and rally 12% to target the $0.714 hurdle.
The post Expert Lawyer Predicts SEC Will Appeal as XRP Price Risks 25% Crash appeared first on CoinGape.
Earn more PRC tokens by sharing this post. Copy and paste the URL below and share to friends, when they click and visit Parrot Coin website you earn: https://parrotcoin.net0
PRC Comment Policy
Your comments MUST BE constructive with vivid and clear suggestion relating to the post.
Your comments MUST NOT be less than 5 words.
Do NOT in any way copy/duplicate or transmit another members comment and paste to earn. Members who indulge themselves copying and duplicating comments, their earnings would be wiped out totally as a warning and Account deactivated if the user continue the act.
Parrot Coin does not pay for exclamatory comments Such as hahaha, nice one, wow, congrats, lmao, lol, etc are strictly forbidden and disallowed. Kindly adhere to this rule.
Constructive REPLY to comments is allowed