Ripple plans to settle a $125 million penalty within 24 days.
Market speculates on XRP ETF as lawsuit resolution approaches.
Ripple’s legal battle with the U.S. Securities and Exchange Commission (SEC) is once again under the spotlight as concerns grow over the potential appeal of a recent court decision. The SEC might challenge the ruling, which ordered Ripple to pay a $125 million civil penalty for violating securities laws by offering XRP to institutional investors.
However, Ripple’s Chief Legal Officer, Stuart Alderoty, expressed confidence in their position, suggesting the SEC has only a 10% chance of winning if they proceed with an appeal.
In a recent interview, Alderoty indicated that Ripple is optimistic about resolving the lawsuit within the next 24 days. The company has signaled its intention to pay the fine and settle the case, potentially putting an end to the years-long legal saga.
Alderoty also questioned the rationale behind the SEC’s potential appeal, highlighting the regulator’s history of aggressive stances on cryptocurrency issues. He noted that while an appeal could occur, it’s unlikely to succeed. Historically, less than 10% of appeals in the Second Circuit have resulted in a reversal of lower court decisions. Regardless of the SEC’s next move, the court’s ruling that XRP’s secondary market sales are not classified as securities under current law remains intact.
What Lies For XRP Ahead?
As the lawsuit nears a potential conclusion, market analysts have started speculating about the possibility of an XRP Exchange-Traded Fund (ETF). Major players like Binance US have shown interest in XRP, suggesting that the market is ready to move beyond the legal challenges and focus on the altcoin’s future growth.
XRP’s price briefly surged past $0.65 following the penalty announcement but has since dipped below the critical support level of $0.60, trading at around $0.567 at press time.
XRP is under bearish pressure with a 9-day EMA at $0.5681 and the daily RSI at 49, showing that the crypto is nearing a neutral position. If the bulls return, it might reach $0.5944.
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