In a landmark decision, a judge ruled that Ripple's XRP token was initially sold to institutional investors as an investment contract, rendering it security. The Securities and Exchange Commission (SEC) brought the case and will determine whether certain tokens should be deemed securities. The judge, Analisa Torres, determined that Ripple's $728.9 million in unregistered XRP sales to institutional investors constituted unregistered securities offerings. In this ruling, however, programmatic sales and transactions made by Ripple's CEOs were not considered securities. Other claims will proceed to trial before a jury.
The SEC alleged that Ripple did not provide investors with adequate information to assess the risks associated with their investments. The judge's decision was based on the Howey test, which defines securities as investments made in a common enterprise with the expectation of profiting solely from the efforts of others. Some members of the cryptography community consider the Howey test to be obsolete and controversial.
This decision has raised concerns regarding the classification of cryptocurrencies as securities. The price of XRP increased by nearly 100 percent following the announcement, indicating a favorable reaction from investors. Ripple had proposed an interpretation of the Howey test requiring specific "essential ingredients" for a token to be considered a security, but the judge rejected this interpretation, electing instead to follow the Supreme Court's plain language in the original Howey test.
Let’s see the upcoming XRP Price Prediction from the XRPUSDT technical analysis:
XRP/USDT Formed A Massive Bullish Breakout
Ignoring the fundamental development, a bullish breakout possibility is shown from the triangle formation, backed by a strong bullish trend. Despite the significant growth after the lawsuit winning, the price could see further upward pressure, as shown in the monthly time frame.
The weekly price shows a clearer view of a breakout after a long consolidation, but investors should wait for a candle close to validate the momentum.
The bullish price action in this pair started at the beginning of 2023 with a strong liquidity sweep. Later, bulls formed a channel breakout, validating the continuation of the bullish trend. A similar pattern is forming in the recent price chart, which could result in a bullish trend trading opportunity.
Since April 2023 high, a strong buying pressure is visible from the Fixed range high volume indicator. As per the current reading, the highest activity level is at the 0.4649 level, which is the pre-breakout level of the current bullish swing.
The price is overextended from the dynamic 20-day Exponential Moving Average level, while the RSI reached the overbought 70.00 level.
Based on the daily XRP (XRP) Price Prediction, the current price is facing bullish pressure from the 50% Fibonacci Retracement of the last massive bullish D1 candle. Therefore, the 0.7000 to 0.6480 area would be the first buying point, as it could increase the price towards the 0.9500 area.
On the other hand, a break below the 0.6400 level could eliminate the price inefficiency by testing the 0.5000 key level. However, breaking below the 0.4700 level could be an alarming sign for bulls as it could lower the price toward the 0.4000 area.
XRP/USDT Ichimoku Cloud Analysis
In the H1 timeframe, the first bullish sign is visible from the strong bullish consecutive candlestick formations, which could validate the bullish trend continuation in the intraday chart. Also, the current price remains sideways after the breakout, which is a signal the bulls are still holding the momentum.
The future cloud shows strong buying pressure as the current Senkou Span A is above the B level. Moreover, the current TDI level in the indicator window shows a bullish possibility as it formed a bullish rebound from the lower band area.
Based on the Ichimoku Cloud xrp crypto price prediction, a downside correction may occur as the price faces a confluence resistance from the channel resistance. Still, any bullish recovery above the dynamic Kijun Sen or 0.6500 to 0.6100 area could validate the bullish signal, targeting the 0.9000 level.
On the other hand, breaking below the 0.6000 level could lower the price towards the 0.4000 area.
XRP/USDT Intraday Price Action Analysis
In the H1 chart, the current price faces selling pressure from the channel resistance, while the current 20 EMA is above the price. However, the current weekly VWAP is below the current price, while the visible range high volume level is at the breakout point.
The indicator window shows selling pressure as the current MACD Histogram is on the sellers' side. In this context, a bearish H1 candle below the weekly VWAP level could offer a short opportunity.
Bulls should monitor how the price trades at the 0.6500 to 0.6100 area from where a rebound could happen. However, breaking below the 0.6000 level could extend the loss toward the 0.4100 area.
Is XRP/USDT A Buy?
Based on the current xrp price prediction today, investors might face a bullish trend continuation opportunity in the XRPUSD price. A close attention to the lower time frame is needed to find any early buying opportunity.