- Ripple lawsuit is awaiting final ruling, Mark Cuban hinted at Kamala Harris’ nomination influencing crypto regulation in the US.
- The SEC alleges that the payment remittance firm has violated securities laws, Ripple CEO said in a recent interview that a resolution is close.
- XRP extends gains by 5% on Wednesday, surges to $0.62.
Ripple (XRP) made a comeback above key psychological resistance early on Wednesday. Crypto traders are optimistic after the Ethereum Exchange Traded Fund (ETF) launch. Entrepreneur and investor Mark Cuban recently shared his comments on how Kamala Harris’ nomination to the Presidential elections could influence crypto regulation.
The US Securities and Exchange Commission (SEC) lawsuit, recent events in the crypto market, including Spot Ether ETF approval by the SEC and Mark Cuban’s recent statements on the Presidential nomination are the key market movers influencing XRP on Wednesday.
Daily digest market movers: Ripple lawsuit could see changes in response to shift in crypto regulation
- Mark Cuban, an American entrepreneur and crypto proponent, says he expects Kamala Harris’ nomination to the US presidency to impact crypto regulation, likely positively.
- Changes in crypto regulation are expected to have an impact on the SEC lawsuit against Ripple, where the regulator alleges that the payment remittance firm violated securities laws.
- In July 2023, Judge Analisa Torres ruled that XRP, the native token of XRP Ledger, is not a security in its secondary-market transactions. The decision was upheld and cited as precedent in SEC vs. Binance lawsuit, per judge Amy Berman Jackson’s ruling.
- Cuban told Politico that the Harris campaign is interested in crypto, among other issues that are being discussed, and the Presidential candidate is considering speaking at the Nashville Bitcoin conference later this week.
- SEC vs. Ripple lawsuit is awaiting a final outcome. There’s talk of a closed-door meeting between the two parties on July 25. Find out more about it here: Ripple stablecoin unlikely to invite legal trouble with SEC, XRP loses key support
Technical analysis: XRP breaks above $0.62 on Wednesday
Ripple is currently in an upward trend, forming higher highs and higher lows since July 8. XRP is likely to extend gains by 10.77% and hit its $0.70 target. The altcoin could find support at $0.5797 and $0.6058 (the 61.8% Fibonacci retracement of the decline from the March 11 top of $0.7440 to the July 5 low of $0.3823).
The momentum indicator, Moving Average Convergence Divergence (MACD), supports XRP gains. The green histogram bars correspond with underlying positive momentum in Ripple’s price trend.
XRP/USDT daily chart
A daily candlestick close under $0.6058 could invalidate the bullish thesis for XRP.
Bitcoin, altcoins, stablecoins FAQs
Bitcoin is the largest cryptocurrency by market capitalization, a virtual currency designed to serve as money. This form of payment cannot be controlled by any one person, group, or entity, which eliminates the need for third-party participation during financial transactions.
Altcoins are any cryptocurrency apart from Bitcoin, but some also regard Ethereum as a non-altcoin because it is from these two cryptocurrencies that forking happens. If this is true, then Litecoin is the first altcoin, forked from the Bitcoin protocol and, therefore, an “improved” version of it.
Stablecoins are cryptocurrencies designed to have a stable price, with their value backed by a reserve of the asset it represents. To achieve this, the value of any one stablecoin is pegged to a commodity or financial instrument, such as the US Dollar (USD), with its supply regulated by an algorithm or demand. The main goal of stablecoins is to provide an on/off-ramp for investors willing to trade and invest in cryptocurrencies. Stablecoins also allow investors to store value since cryptocurrencies, in general, are subject to volatility.
Bitcoin dominance is the ratio of Bitcoin’s market capitalization to the total market capitalization of all cryptocurrencies combined. It provides a clear picture of Bitcoin’s interest among investors. A high BTC dominance typically happens before and during a bull run, in which investors resort to investing in relatively stable and high market capitalization cryptocurrency like Bitcoin. A drop in BTC dominance usually means that investors are moving their capital and/or profits to altcoins in a quest for higher returns, which usually triggers an explosion of altcoin rallies.
