- While a favorable ruling could expedite the resolution of Ripple’s long-standing legal battle with the SEC, any delays or unfavorable outcomes could prolong the case until 2027.
- XRP’s price has climbed over 20% in the past week, surpassing $2, with analysts suggesting it may enter a bullish Wave 5 pattern.
The struggle between Ripple Labs and the U.S. Securities and Exchange Commission (SEC) is nearing its end, which has been going on for more than five years in courtrooms. Thus, Ripple is now pushing for a significant judicial clarification that could reshape its future business trajectory and influence overall crypto market regulations.
Ripple’s Latest Demand In Ongoing Legal Proceedings
Ripple seeks an “indicative ruling” from U.S. District Judge Analisa Torres regarding whether an earlier court’s decision paves the way for private sales of XRP to be legal. According to legal expert James Farrell, this action is key for Ripple to play its part in the launch of an Initial Public Offering (IPO) in the U.S. Without this clarification, the company may face significant regulatory barriers that could delay or prevent public listing efforts.
While the pursuit of a settlement is not enough to unlock additional business opportunities, Farrell stresses that it is not the sole path to doing so either. Moreover, though the lawsuit would be resolved with immediate legal relief, Ripple seeks an indicative ruling so that the legal foundation for the company’s capacity to privately transact XRP is established in the eyes of the law. Thereafter, it’ll serve as a fundamental prerequisite for investor confidence and the establishment of a public market for XRP.
However, the timeline for this development remains uncertain. Even if Ripple and the SEC find a wireless agreement on the settlement and the motion for the ruling, processing such legal motions can take months. Furthermore, legal observers say even with cooperation from the SEC, the court could take nearly six months or even longer to rule.
If Judge Torres sides with Ripple here and sets aside her prior decision, the appeals process will come to a quick end. But if the court turns down the request, the case could be taken back to the appellate level and could not be settled until 2027.
A Look At Recent XRP Price Action
Yet, XRP’s market is attracting the interest of traders and analysts. The XRP price has seen a strong recovery, climbing 20% in the past week and reestablishing itself above the $2 mark. This resurgence has fueled speculation about further upward movement.
Meanwhile, Maelius, a technical analyst, reports that XRP’s recent rebound from the 50-week Exponential Moving Average (EMA) indicates a potential shift into the final stage of an Elliott Wave pattern. Normally, this phase, also called Wave 5, is generally characterized by a very strong bullish breakout. One of the second chances of XRP surging to a new high near $10 is based on a possible rainbow reverse that Maelius believes could be up to 35% likely to occur.
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