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Ripple vs SEC Settlement in the Next 24 Hours? XRP Price Feels the Heat!

Author: Elena R
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Elena is an expert in technical analysis and risk management in cryptocurrency market. She has 10+year experience in writing - accordingly she is avid journalists with a passion towards researching new insights coming into crypto erena.

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Story Highlights
  • Today's closed-door meeting between Ripple and the SEC could lead to a settlement in their ongoing lawsuit over XRP sales.

  • Ripple won some points in the case but still faces a potential $2 billion fine if no settlement is reached.

  • The outcome of a separate lawsuit regarding cryptocurrency definitions could impact the Ripple vs. SEC case.

In today’s pivotal meeting between Ripple and the SEC, all eyes are on the possibility of a settlement. This closed-door gathering has captured the interest of both crypto enthusiasts and investors. Recent developments hint at ongoing negotiations between the two parties, but the outcome remains uncertain, especially with the pre-trial conference scheduled for today.

Here’s all you need to know.

Behind Closed Doors

Closed-door SEC meetings are a regular occurrence, bringing together top officials like commissioners and key staff. These meetings, whether virtual or held in Washington, D.C., are shrouded in secrecy. As today’s meeting is crucial, speculation abounds within the crypto community about the possibility of a settlement.

In the SEC v. Ripple case, while Ripple has seen some victories, it faces allegations of violating securities laws with its XRP sales. Now, the focus is on determining penalties, with the SEC seeking nearly $2 billion from Ripple. This hefty fine presents Ripple with a difficult choice: either sell off XRP in large quantities, potentially crashing the market, or sell the entire company to cover the fine.

Ripple’s response on April 22 and the SEC’s reply on May 6 will pave the way for the court’s final decision if a settlement isn’t reached today.

Read More: All Eyes on Ripple vs SEC: Final Arguments to Determine XRP Price

Coinbase’s Move Adds Complexity

Coinbase’s decision to pursue an interlocutory appeal in the Second Circuit Court of Appeals has further complicated matters for Ripple. This appeal aims to clarify the definition of an “investment contract,” a crucial aspect that could significantly impact the crypto industry.

The outcome of this appeal could establish important legal precedents affecting ongoing lawsuits, including the Ripple vs. SEC case.

Market Pressure for XRP

XRP’s price has been under strain, dropping below key support levels amid increased market volatility. Concerns over Ripple’s periodic release of XRP tokens from escrow and uncertainty surrounding the lawsuit’s outcome have contributed to this decline.

Also Check Out: XRP Price Records The Biggest Drop! Is This The Right Time To Stack Ripple Tokens?

Despite the downturn, there’s growing interest in XRP futures among derivatives traders, indicating potential price movements. The expansion of active XRPL liquidity pools also signals continued engagement with the network despite uncertainties.

Settlement or no settlement, what’s your prediction for the XRP price? 

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Elena R

Elena is an expert in technical analysis and risk management in cryptocurrency market. She has 10+year experience in writing - accordingly she is avid journalists with a passion towards researching new insights coming into crypto erena.

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