Investing.com – The SEC’s legal action against it again has the potential to end soon. The US securities regulator only has until June 26 to present important documents. They must convince the court that documents created as part of the 2018 speech by former SEC Chairman Hinman play no role in the lawsuit. SEC attorneys claim solicitor-client privilege because documents put forward by Ripple’s defense contain conversations between Hinman and attorneys.
Hinman then declared that gold and ethereum were not securities. It is this statement and the whole process that led him to make this statement that Ripple wishes to use in its defense.
If the court fails to find that the documents filed by the SEC prove that attorney-client privilege can be enforced, the lawsuit could quickly end.
Trial observers assume that in this case, the regulatory authority has an interest in settling the dispute quickly by agreement, so that the documents in question are not made public.
This would indeed have significant implications for similar lawsuits the SEC is pursuing against other companies accused of illegally using securities.
Ripple itself also has every interest in finally moving into a legally safe space. Resolving the dispute should give a huge boost to the success of the business model. Some companies want to collaborate with Ripple, but want to wait for the end of the legal process first.
One of them is the Japanese used car export company SBI Motor Japan, which wants to use the XRP-ODL platform for SBI Motor Africa transactions. Since May already, XRP and bitcoin have been offered as a means of payment.
Ripple Technical Price Marks
Ripple was able to recover from its new cycle low of the $0.2875 area and cross the psychologically important threshold of $0.30.
So far, however, this move is only a correction of the oversold conditions and therefore a sideways move at a low level as well as further losses are to be expected.
Only by breaking above the resistance of the 23.6% Fibo retracement at $0.3746 would the cryptocurrency signal that investors are interested in a sustainable recovery. Beyond that, the next resistance lies at the psychological level of $0.40, followed by the 38.2 percent Fibo retracement at $0.4285.
By Marco Oehrl