- Ripple price rebounds despite fear of impending SEC lawsuit.
- SEC claims Ripple’s XRP is a security.
After news emerged that the Securities and Exchange Commission (SEC) was going to sue Ripples, the price of its native token, XRP, went on a downward slide due to the selling pressure that became enormous.
During this period, Ripple’s price hovered around the $0.20 mark. But in recent times, the price of the token has risen to as high as the $0.33 level.
However, as it stands presently, there are indications that the token could be reaching its earlier levels. If the coin successfully breaches those resistance levels, it could be on its way to testing the next strong resistance levels at $0.37.
The current surge in Ripple’s price has also led many crypto enthusiasts, especially those in the XRP community, to believe that the token could just be able to rally up to $1 on or before the beginning of the new year.
This prediction, however, currently appears a little bit difficult but not totally impossible. According to Crypto Bull, a famous XRP analyst, he says there is a perfect cup & handle developing on the chart of XRP.
These patterns usually signify a bullish run that extends an uptrend. The patterns are also always used to spot upcoming long opportunities.
Ripple Price Dips Because of Impending SEC Lawsuit
Recently, reports emerged that the SEC was going to drag Ripples to court over the status of its crypto asset. According to the SEC, Ripples failed to declare that XRP was a security and they did not register the token before they began selling it.
Due to this, Ripple’s price nosedived as some holders of the asset began to massively dump it. The token saw a 17% decline in the space of one day as it dropped below the $0.52 support level.
A further spike in the selling pressure saw the price of the asset drop enormously before it began to rebound in the last 24 hours.