Fundamental view:
Back in late December 2020, the U.S. Securities and Exchange Commission filed a significant case against Ripple, the major cryptocurrency company.
The SEC’s complaint charged Ripple claiming that the company raised over $1.3 billion through an unregistered digital security offering.
The SEC’s objection claims that, starting in 2013, Ripple began selling digital assets, known as XRP, as an unregistered security offering. They company also used XRP in exchange for non-cash compensation, such as labor and market making services. The SEC conducted legal actions against several other coin offerings but this is the most notable case yet. Some have indicated that the SEC’s delay in acting in opposition to Ripple and other cryptocurrency offerings is too little too late because of the prolonged delay in enforcement.
Technical view:
Compared to the other top cryptocurrencies, such as Bitcoin and Ethereum, XRP delayed the completion of its weekly consolidation pattern that started in January 2018. Taking into consideration the latest lawsuit filled by the SEC, we anticipate that XRP price will re-test March 2020 lows, completing the bigger timeframe structure and wiping out most of the market participants. If the price breaks under 11 cents we can see it as being a great investment opportunity.
Trade with care.
Best regards,
Financial Flagship
Disclaimer: The analysis provided is purely informative and it should not be used as financial advice. Remember that you need a plan before you start trading; so, take this knowledge and use it as a guidebook that will ultimately help you understand the market and easily predict your next move.
Back in late December 2020, the U.S. Securities and Exchange Commission filed a significant case against Ripple, the major cryptocurrency company.
The SEC’s complaint charged Ripple claiming that the company raised over $1.3 billion through an unregistered digital security offering.
The SEC’s objection claims that, starting in 2013, Ripple began selling digital assets, known as XRP, as an unregistered security offering. They company also used XRP in exchange for non-cash compensation, such as labor and market making services. The SEC conducted legal actions against several other coin offerings but this is the most notable case yet. Some have indicated that the SEC’s delay in acting in opposition to Ripple and other cryptocurrency offerings is too little too late because of the prolonged delay in enforcement.
Technical view:
Compared to the other top cryptocurrencies, such as Bitcoin and Ethereum, XRP delayed the completion of its weekly consolidation pattern that started in January 2018. Taking into consideration the latest lawsuit filled by the SEC, we anticipate that XRP price will re-test March 2020 lows, completing the bigger timeframe structure and wiping out most of the market participants. If the price breaks under 11 cents we can see it as being a great investment opportunity.
Trade with care.
Best regards,
Financial Flagship
Disclaimer: The analysis provided is purely informative and it should not be used as financial advice. Remember that you need a plan before you start trading; so, take this knowledge and use it as a guidebook that will ultimately help you understand the market and easily predict your next move.
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