XRP price declines 7% on the week, Ripple CLO defends “non-security” status of token

• XRP price plummeted below the psychologically important $0.60 level on Tuesday. 
• Ripple CLO Stuart Alderoty weighed the SEC evidence considered by Judge Analisa Torres prior to the July 13 ruling. 
• Alderoty defends XRP token’s non-security status and backs his claims with documents from Coinbase lawsuit. 

Ripple (XRP) price slipped below the key psychological level of $0.60, for the first time in nearly 10 days. The altcoin is in a state of decline alongside developments in the Securities and Exchange Commission’s (SEC) Coinbase lawsuit. 

The SEC’s legal battles with Coinbase and Ripple are intertwined as the former relies on Judge Torrres’ application of a legal test to XRP. A key ruling, considered a partial victory for Ripple, is in question in the SEC vs. Coinbase case. 

XRP’s status as a security or non-security influences the SEC’s allegations against Coinbase and ties the two lawsuits together. 

Daily digest market movers: Ripple CLO breaks down SEC’s evidence, application of Howey

• The SEC’s lawsuit against Coinbase has an impact on the regulator's lawsuit against Ripple and weighs heavily on the outcome since the cases rely on XRP’s security status. 
• SEC alleges that Coinbase engaged in the unregistered sale of US securities (cryptocurrencies) and according to a recent update, the judge rejected the exchange’s motion to dismiss the lawsuit. 
• Ripple’s Chief Legal Officer (CLO) Stuart Alderoty examined the SEC’s filing in the Coinbase lawsuit and stated that the regulator has offered four different definitions of what constitutes a crypto ecosystem. 

• Alderoty says that in its lawsuit against Ripple, SEC strayed from “Howey,” a test that determines what qualifies as an investment contract subject to US securities laws. 
• XRP’s “security” status is at risk since Judge Analisa Torres’ application of Howey in the July 13 ruling is being questioned, and has been thrown out by two US federal judges, so far. Find out more about this here. 

Technical analysis: XRP price slips below $0.60, no relief in sight

Ripple is trading sideways within a tight range between $0.5670 and $0.6686, two levels that act as key support and resistance for XRP on the 1-day chart respectively. The red bars below the neutral line on the Awesome Oscillator (AO) and Relative Strength Index (RSI) move below 50 (neutral), supports the bearish thesis for XRP. 

XRP price could sweep support at $0.5386 and collect liquidity before attempting a recovery, to test resistance at $0.6686. A daily candlestick close below the $0.60 level could trigger a run down to the January 31 low of $0.4853. 

XRP/USDT 1-day chart 

If XRP price closes above $0.6147, the 50% Fibonacci placeholder of its rally from January 31 low of $0.4853 to March 11 peak of $0.7440, it could invalidate the bearish thesis for Ripple. XRP price faces resistance at $0.6686, in its climb to the year-to-date peak of $0.7440.