Back last Friday, technical analysts confidently said that XRP will face an unenviable fate in the near future, with a slow decline of 10% per month. And growth is possible only on the horizon of 2025. A 15% peak ruined all these forecasts.
Technical analysis gives traders a chance to predict the dynamics of an asset under conditions of complete uncertainty. This is often the only way to analyze the retail market since the graph visually reflects the psychology of crowd behavior. However, in this case, the analysis technically gave false information. Fundamental factors canceled out crowd psychology.
The fundamental factors that sent XRP to the Moon are several court decisions in the SEC lawsuit. The court will issue a verdict after the parties have provided evidence, but this deadline has been postponed once again, now to November 12. More importantly, however, that judge Sarah Netburn again sided with Ripple and backed the company’s petition to review three SEC documents. Two of them relate to the SEC’s discussion with law firms on digital assets. The third document is the mail exchange about XRP after Hinman’s speech in 2018. At that time, former SEC official William H. Hinman admitted that the SEC had no problems with bitcoin (BTC) and Ethereum (ETH). The correspondence that Ripple requires to be made public discusses whether XRP can be recognized as a cryptocurrency as well.
In addition, Ripple’s lawyers rejected the SEC’s request for additional recordings of internal meetings. The company has already submitted 4,000 records and has produced 170,000 documents and one million pages that hit on responsive search terms. The SEC’s demand for more material looks like a boil-the-ocean demand, Ripple’s lawyers said. And the court agreed.
Earlier, District Judge Analisa Torres agreed to accept the petition of XRP hodlers who asked for permission to participate in the lawsuit. The judge granted them the status of amici curiae – “friends of the court”. This does not give them the right to take part in the case. But amici curiae can submit documents to the court that can influence the decision. The XRP hodler petition contained information in support of those who buy and sell XRP. It was filed back in April 2021. The approval of the petition can be considered a positive fact for Ripple. The company’s general counsel, Stuart Alderoty, noted on Twitter:
– XRP holders have always said that the SEC’s lawsuit is a direct attack on them. Now it’s official. The Court’s ruling permits John Deaton to share his “meaningful perspective” to help the Court “reach a proper decision.” Yet another important (and positive) development.
John Deaton is the lawyer who filed the petition on behalf of the XRP hodlers.