- 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.
Cryptocurrency metrics FAQs
The developer or creator of each cryptocurrency decides on the total number of tokens that can be minted or issued. Only a certain number of these assets can be minted by mining, staking or other mechanisms. This is defined by the algorithm of the underlying blockchain technology. Since its inception, a total of 19,445,656 BTCs have been mined, which is the circulating supply of Bitcoin. On the other hand, circulating supply can also be decreased via actions such as burning tokens, or mistakenly sending assets to addresses of other incompatible blockchains.
Market capitalization is the result of multiplying the circulating supply of a certain asset by the asset’s current market value. For Bitcoin, the market capitalization at the beginning of August 2023 is above $570 billion, which is the result of the more than 19 million BTC in circulation multiplied by the Bitcoin price around $29,600.
Trading volume refers to the total number of tokens for a specific asset that has been transacted or exchanged between buyers and sellers within set trading hours, for example, 24 hours. It is used to gauge market sentiment, this metric combines all volumes on centralized exchanges and decentralized exchanges. Increasing trading volume often denotes the demand for a certain asset as more people are buying and selling the cryptocurrency.
Funding rates are a concept designed to encourage traders to take positions and ensure perpetual contract prices match spot markets. It defines a mechanism by exchanges to ensure that future prices and index prices periodic payments regularly converge. When the funding rate is positive, the price of the perpetual contract is higher than the mark price. This means traders who are bullish and have opened long positions pay traders who are in short positions. On the other hand, a negative funding rate means perpetual prices are below the mark price, and hence traders with short positions pay traders who have opened long positions.
Source