- SEC pushes for punishment against Ripple.
- XRP has relapsed into a bear trend following attempts.
The ongoing dispute between Ripple [XRP] and the United States Securities and Exchange Commission (SEC) continues.
The latest filing from the SEC challenged some of Ripple’s positions and advocated for injunctions against the company. Amidst this legal battle, XRP has recently reverted to a bearish trend.
SEC fires shots in latest reply to Ripple
A recent filing revealed that the SEC has submitted its final reply to Ripple in the lawsuit’s remedies stage. In its response, the SEC challenged Ripple’s claim that it acted without recklessness.
Also, it disputed its assertion that there should be no widespread uncertainty regarding the legal status of XRP, despite the court previously rejecting this “fair notice” defense.
Previously, a ruling declared that XRP was not a security, dealing a blow to the SEC’s position. However, the SEC maintained its belief that the company would likely engage in similar actions in the future.
Consequently, the SEC argued that its assurances about changing its behavior post-lawsuit do not warrant avoiding injunctions.
The latest SEC filing indicates that the regulatory body is steadfast in its allegations against Ripple and is advocating for a ruling against the company.
In response, Ripple’s Chief Legal Officer, Stuart Alderoty, criticized the SEC for allegedly disregarding the law. Despite this criticism, Alderoty expressed optimism that the case was nearing its conclusion.
Ripple drops below the neutral line
AMBCrypto’s analysis of XRP’s price revealed a nearly 3% decline on the 7th of May. The daily timeframe chart showed a 2.83% decrease, with XRP trading around $0.52.
This decline influenced its trend, as evidenced by the Relative Strength Index (RSI). Before the decline, Ripple had marginally crossed above the neutral line on the RSI following a 1.8% increase.
Source: TradingView
However, at the time of writing, its price remained around $0.52, experiencing a minor decrease of less than 1%. Additionally, the RSI fell further below the neutral line, indicating a strengthening bearish trend.
Volume remains in the $1 billion threshold
At press time, Ripple’s trading volume has notably decreased.
Realistic or not, here’s XRP market cap in BTC’s terms
While it remained within the $1 billion range, the volume has dropped to around $1.17 billion from the over $1.8 billion recorded in the previous trading session.
This decline in volume signals a reduction in trading activity, consistent with the recent trend observed for the asset over the past few weeks.
Source: Santiment