The SEC may forego filing an appeal brief against Ripple in light of Trump's election, which might signal the beginning of bull season for XRP.
With the possibility of President-elect Trump dismissing Gensler, the SEC may approve the XRP ETF.
Assuming XRP is able to surpass the top limit of a critical trading channel, it may see a surge to $0.6640.
With Donald Trump's win in the presidential election, the Securities and Exchange Commission (SEC) may decide not to file an appeal brief against Ripple, which might lead to an extension of its rise to $0.6640. This could explain why Ripple's XRP is up more than 5% on Wednesday.
With Trump's triumph, XRP is poised for a bull season.
In the 24 hours after Donald Trump's victory in the US presidential elections, XRP rose 5%, suggesting it is likely to continue its current good run.
Following the election results, the coin, which has seen many setbacks since the SEC sued Ripple Labs, its original business, in December 2020, may be poised for a significant bull run in the months to come.
The CEO of Ripple, Brad Garlinghouse, congratulated Trump on the win and proposed that, upon taking office, Trump remove Gary Gensler from his position as chair of the SEC.
The four-year fight against Ripple was supervised by the SEC administration under Gensler. Final ruling by Judge Analisa Torres: $125 million punishment for Ripple Labs, far lower than the $2 billion sought by the SEC, and dismissal of allegations that retail investors' purchases of XRP constituted unregistered securities.
On the other hand, the SEC challenged portions of Judge Torres's decision by filing an appeal notice. In retaliation, Ripple has filed a cross-appeal questioning whether or not XRP transactions meet the requirements of a Howey Test.
The court has granted the SEC's request for an appeal, according to a document published by defense attorney James K. Filan; however, the deadline for the filing of the agency's brief is January 15, failing which the case would be dismissed.
The likelihood of the regulator filing the brief is low given that Gensler may face demotion upon Trump's inauguration. Consequently, the lawsuit against Ripple Labs is practically concluded.
With Gensler out of the picture and its legal battles drawing to a close, some in the cryptocurrency world are speculating that the SEC may approve an XRP ETF in the near future. Following Judge Torres's decision, other asset managers, such as Bitwise, Canary Capital, and 21Shares, had already applied for an XRP ETF.
John Deaton, a pro-crypto lawyer who played a key role in defending XRP in its lawsuit against the SEC, was beaten by Senator Elizabeth Warren, who was able to keep her position in the Senate.
Technical Analysis of Ripple: If XRP breaks over a critical channel, it might surge to $0.6640.
As a result of $3.07 million in liquidations in the last 24 hours, XRP is trading at the $0.5400 psychological threshold, up 5% on the day, according to data from Coinglass. The long liquidation was $835,000, while the short liquidation was $2.23 million.
A crucial channel is guiding the remittance-based token's movement; the top border begins on July 31 and the bottom limit begins on August 11.
In the absence of a rejection at the $0.5608 resistance level—the point of intersection for the 50-day, 100-day, and 200-day SMAs—XRP may attempt to break through to the upper border of the crucial channel, which is located about $0.5780.
Rising bullish momentum is shown by the Relative Strength Index (RSI), which is above its neutral level. It is possible that the Awesome Oscillator (AO) may soon rise beyond its neutral level, which it is now below. Bullish pressure would be amplified if the neutral level were to be crossed above.
If the daily candlestick closes below $0.4860, the bullish thesis will be rendered useless.