On Monday, XRP bucked the crypto market’s downtrend, rising 0.92% to end the day at $0.37024. The news of the case SEC vs. Ripple provided support to the XRP price, with the SEC on the wrong end of various rulings. However, technical indicators remained bearish, indicating a return to below $0.35.
On Monday, XRP rose 0.92%. Partially reversing a 1.79% loss from Sunday, XRP ended the day at $0.37024. Despite the bullish session, XRP revised below $0.36 for the second time since Jan 11.
A bearish start to the day saw XRP slide to a mid-morning low of $0.35936. XRP fell through the first major support level (S1) at $0.3627, before rising to a high of $0.37362. Being range-bound from the first major resistance level (R1) at $0.3740, XRP pulled back to end the day at $0.37024.
SEC vs. Ripple Rulings Provide XRP Price Support
Monday was a busy session, with court rulings in the ongoing SEC vs. Ripple case supporting a bullish start to the week.
Defense attorney James Filan shared Judge Torres’ latest ruling via Twitter:
“BREAKING: Judge Torres issues Ruling on Parties’ Motions to Preclude Expert Testimony.”
While Presiding Judge Torres granted and denied both sides’ motions, the courts denied further SEC motions to exclude testimony, which should have put the defendants in a better position.
Amicus curiae attorney John Deaton had this to say:
“Ripple’s Motion to Exclude Expert No 1 from testifying is GRANTED as to his first opinion about the perceptions of a reasonable XRP purchaser and DENIED as to the remainder of his testimony. – Judge Torres – Now try and tell me XRP Holders don’t make a difference.”
Significantly, the rulings mean that Presiding Judge Torres will not wait until the end, and he could begin ruling on other pending motions.
Decisions on the Hinman Documents could have a material impact on the case and XRP. The SEC filed a Motion to Redact Certain Content after failing to protect all of the documents under attorney-client privilege. A ruling against the SEC could spark speculation about a deal.
The consensus is that the documents could affect the SEC and its case against the defendants.
XRP Price Action – Technical Indicators
XRP needs to avoid the $0.3677 pivot to target the first major resistance level (R1) at $0.3761. A move through Monday’s high of $0.37362 would indicate a bullish session. However, the broader crypto market and SEC vs. Ripple talk would need to support a breakout.
In the event of a prolonged rally, XRP would likely test the second major resistance level (R2) at $0.3820, and resistance at $0.3850. The third main resistance level (R3) sits at $0.3963.
A move of XRP through the 50-day EMA ($0.37399) and R1 ($0.3761) would give the bulls a run to the 100-day EMA ($0.37874) and R2 ($0.3820). A move of XRP through the 50-day EMA would send a bullish signal. However, if the 50-day EMA ($0.37399) is not broken, the major support levels will still be in play.
By Audy Castaneda
