- XRP price flipped the 50-day EMA into a support line, however, the altcoin is expected to consolidate.
- SEC Chair Gary Gensler took a jibe at the crypto market on Wednesday, stating there is a lot of noncompliance in the space.
- Ripple CEO Brad Garlinghouse replied to his comment, saying that Gensler had destroyed the integrity of the SEC.
Ripple might have partially won the war against the Securities and Exchange Commission (SEC), but the sourness is still prevalent. While the SEC Chair attempts to place the regulatory body in a good light, the payment processor’s CEO seems dedicated to exposing the Commission’s hypocrisy.
Daily Digest Market Movers: Ripple CEO takes a shot at SEC
- Ripple CEO Brad Garlinghouse took to X, formerly Twitter, this week to give his piece of mind on a recent comment by the SEC Chair Gary Gensler. The regulatory body’s leader spoke about the crypto space in a video he posted on the social media platform, wherein he pointed out the issues pertaining to bad actors in the crypto market.
- He stated that there was a considerable amount of noncompliance in the crypto space, which supposedly undermined the confidence of the investors. He added,
“Further, this can make it hard for the good faith actors to compete.
- However, this did not go down well with the crypto community, who were quick to correct Gensler and point out that the lack of clarity from the Commission is a leading reason for entities being trapped by SEC’s enforcement.
Garlinghouse, not so surprisingly, stood with the community and hit out at the SEC Chair, stating,
“Stunning hypocrisy from the person who cozied up to the biggest fraud in recent memory.
Gensler is a political liability whose actions have decimated consumers and destroyed the integrity of the SEC, while remaining buddy-buddy with Wall Street.
- This is the second time that Garlinghouse has called Gary Gensler a political liability, with a similar comment noted in November. Criticism towards Gensler has always been in regards to their stance against Ripple in the past, but with the Commission losing the Grayscale lawsuit and being forced by the court to approve the spot Bitcoin ETF applications, this animosity is expanding.
Technical Analysis: XRP price set to consolidate
XRP price, trading at $0.617 at the time of writing, has managed to remain above the $0.600 support line. However, by the looks of it, the altcoin is likely going to consolidate going forward. The reason behind this is the lack of bullish momentum being observed at the moment.
The price indicators are also seemingly neutral, with the Relative Strength Index (RSI) standing at the neutral line at 50.0, while the 50-day Exponential Moving Average (EMA) acts as a support. This suggests that the cryptocurrency might witness sideways movement for a while, leading to consolidation.
XRP/USD 1-day chart
However, a gradual increase and a breach through the $0.644 resistance line might result in the invalidation of the bearish-neutral thesis. XRP price could eventually flip the same line into support to initiate a recovery rally towards $0.700.
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.