Ripple (XRP) investors are engaged in discussions regarding the potential impact of the Financial Innovation and Technology for the 21st Century Act (FIT21) on the price of XRP and the institutional sales of XRP tokens by the payment remittance firm. The outcome of this case holds significant importance as it could potentially influence the market dynamics of XRP, the native token of the XRP Ledger, as well as the institutional sales of XRP tokens by the payment remittance firm.
Ripple Braces Itself for the Worst-Case Scenario in SEC Lawsuit
Attorney Bill Morgan emphasizes the importance of being prepared for the worst-case scenario in the ongoing Ripple lawsuit. This scenario could involve a permanent injunction or a complete ban on the sale of XRP tokens to institutional clients in the United States. Access the latest technology news through NEWSLINKER.
XRP Sales Persist
Morgan states that Ripple is ready for the worst-case scenario in terms of its defense. In the event of such a scenario, the court might impose a permanent ban on Ripple’s sale of XRP tokens to institutional clients in the US. However, according to Morgan, Ripple continues to offer its services and sell XRP to institutional clients located overseas through entities operating under different licensing regimes.
The Impact of FIT21 Bill on Ripple
The recently approved FIT21 bill by the US Congress has left XRP holders curious about its potential impact on XRP amidst the ongoing legal battle between the US Securities and Exchange Commission (SEC) and Ripple. The SEC has filed a lawsuit against Ripple, seeking a $2 billion penalty, alleging the sale of unregistered securities (XRP token sales) to institutional clients.
XRP Price Stands at $0.53
As per technical analysis, the current situation of XRP is quite significant. The cryptocurrency has been trading at around $0.53 recently. It experienced a decline of approximately 18% from its peak of $0.6431 on April 9 to May 23. However, XRP has recently entered a consolidation phase since its peak on April 9 and has repeatedly surpassed the significant resistance level of $0.51 throughout this week.
When examining the technical indicators, it is observed that Ripple is experiencing positive momentum according to the MACD signals. The Relative Strength Index (RSI) has risen to 50.12, indicating an upward trend for the asset.
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Disclaimer: The information provided in this article should not be considered as investment advice. Investors should be aware that cryptocurrencies carry a high level of volatility and risk, and should conduct their own research.
