- Despite rumors of a potential settlement, the Ripple vs. SEC case is still ongoing, and speculation-based trading remains risky.
- Investors should approach with caution, as XRP’s price may experience volatility based on market reaction rather than the actual outcome.
Following the recent legal experts’ clarification that the SEC’s removal of the Ripple lawsuit from its website sparked speculation, CNF reported that the case has simply been moved to the appeals court.
The ongoing legal battle between Ripple Labs and the U.S. Securities and Exchange Commission (SEC) remains a focal point in the cryptocurrency industry. Recent developments suggest a potential shift in the case’s trajectory, prompting experts to advise caution among XRP investors despite growing optimism.
However, a software engineer Vincent Van Code has warned against making investment decisions based solely on rumors. He emphasizes that trading based on unverified information is risky and could lead to significant losses.
Buying XRP just before the supposed SEC meeting to catch it pumping is GAMBLING. There is a chance it will be dismissed, but likely it won’t. It’s more of a court thing than an SEC thing. Don’t gamble.
Van Code also notes that although the SEC has recently dropped lawsuits against other crypto firms, Ripple’s case is distinct, having already progressed through the courts with the SEC seeking a $125 million penalty.
Anticipated Resolution: Settlement Speculations
According to another CNF report, attorney Fred Rispoli suggests that Ripple may be required to pay the full $125 million fine, as the SEC delays further decisions while awaiting new leadership.
A recent closed-door SEC meeting on March 6 has fueled speculation about an imminent settlement in the Ripple case. Some analysts predict that a decision could be announced within days.
This anticipation has led to heightened excitement among XRP enthusiasts, hoping for a favorable outcome that could positively impact XRP’s market value.
The ‘Buy the Rumor, Sell the News’ Phenomenon and XRP Price Analysis
Investors should be wary of the “buy the rumor, sell the news” phenomenon, where prices surge on speculation but decline once the actual news is released.
With the outcome of Ripple’s legal battle still uncertain, purchasing XRP in anticipation of a favorable decision is speculative and could lead to financial losses if the result doesn’t meet market expectations.
As of now, XRP is trading around $3.20, experiencing an 5.93% decline in the past 24 hours. The cryptocurrency attempted to maintain a position above $2.50 but faced resistance, leading to a pullback.
