NAIROBI (CoinChapter.com) — The SEC v. Ripple lawsuit continues to overshadow Ripple’s recent court victory, casting doubt on the future of XRP. The court ruling, which fined Ripple $125 million, has reached a critical stage as the SEC is given 60 days to appeal. This delay has added to the uncertainty, stifling potential gains for XRP.
Crypto analyst Raoul Pal suggests that, like ADA, XRP may be losing its innovative edge. Another crypto figure, Max Prime, has further undermined investor confidence by calling XRP “the biggest scam in crypto.”
Appeal Period Casts Shadow on XRP’s Path to $1.00
On August 7, XRP briefly rose to $0.6434 following the court ruling. However, the price quickly fell back due to the possibility of an SEC appeal. Ripple and the SEC have 60 days to appeal, which Ripple’s Chief Legal Officer Stuart Alderoty said was not surprising given the SEC’s history of cryptocurrency cases.
As for XRP’s bullish path to the coveted $1 mark, it remains a long road ahead, with uncertainty surrounding the long appeal period hanging over the market.
Additionally, the potential approval of a U.S. XRP spot ETF could provide support, but it also depends on regulatory developments. Ripple’s efforts to improve the XRP Ledger, including resetting the XRPL testnet to reduce costs, could play a role in shaping the future of XRP, but legal uncertainty remains a significant hurdle.
In particular, social media commentator Nebraskangooner highlighted that XRP is “attacking the upper channel resistance but has yet to successfully break out,” and advised traders to wait for a breakout before considering an upside move.
XRP Stuck Below $0.60: Can It Overcome the Pressure of the Growing Bulls?
As of August 21, XRP USD is trading at $0.5986, with repeated attempts to break above this level stalled. The ongoing SEC v. Ripple lawsuit continues to impact market sentiment, adding to the uncertainty.
The price action places XRP within a descending triangle pattern that has been forming since 2018. This technical setup signals a critical point where a break above the resistance line could signal a bullish move, but if not, it could lead to further declines.
On-chain metrics show that the MVRV long/short differential is negative, indicating that many XRP holders are currently at a loss. This suggests continued selling pressure, especially if key resistance levels are not broken.
Immediate resistance is the upper boundary of the descending triangle, with important targets at the 1.618 Fibonacci extension ($1.03045) and the 2.618 extension ($1.44379). However, a failure to break these levels could see a downside move towards the support at $0.35167.