Ripple‘s XRP, a significant player in the digital currency arena, encountered intense selling pressures, causing its value to dip to crucial support levels. The market dynamics shifted as the protracted legal battle between Ripple and the U.S. Securities and Exchange Commission finally concluded. This long-standing case had intensified market volatility and price fluctuations.
What Happened to XRP’s Price?
On August 8-9, XRP experienced a 5% decline, falling from $3.34 to $3.20. A sudden spike in selling activity between 2:00 PM and 3:00 PM was particularly pronounced, resulting in the day’s highest trading volume of 209.67 million XRP. However, determined buyers rallied at the $3.20 mark, prompting a rebound to $3.33.
Ripple and SEC Resolve Legal Issues?
Ripple and the SEC concluded their nearly five-year dispute by withdrawing their appeals, jointly requesting dismissal from the appellate court. The court obliged, with both parties agreeing to bear their own legal expenses.
Ripple’s Chief Legal Officer, Stuart Alderoty, noted the significance of this resolution, indicating that formal steps were promptly taken following a commission vote to retract appeals.
This conclusion has buoyed market participants’ hopes, suggesting a reduction in legal uncertainties might progressively benefit prices. Analysts believe this unified resolution could bolster some degree of market confidence.
Examining Technical Levels and Trends
From a technical stance, strong backing is evident at $3.20, with resistance looming between $3.31 and $3.33. A positive short-term trend seems to have emerged above $3.28; if XRP crosses $3.33, further price gains are anticipated.
Overnight increases in trading volume suggest strategic buying activities by certain participants, with a 1.86 million surge hinting at potential price advances.
Specialists are watching to see if $3.20 will be retested shortly. Overcoming $3.33 might signal profit-taking ceases, enabling an uptrend revival. Institutional movements and regulatory clarity post-SEC settlement remain key areas of interest.
Additionally, fund activities from Japanese institutions and their effects on U.S. markets are vital watchers. Future global regulations and demand hikes could substantially sway XRP’s valuation.
“The formal step was taken following the commission’s vote to withdraw appeals,” stated Stuart Alderoty, Ripple’s Chief Legal Officer.
