XRP price slips below $0.55 with development in SEC v. Ripple lawsuit

• XRP price dropped below $0.55 on Thursday as both Ripple and SEC work on remedy-related briefs. 
• March 13 is the next key deadline for the SEC v. Ripple lawsuit. 
• The court will determine penalties for Ripple’s institutional sales of XRP by the April 29 deadline. 

The Securities and Exchange Commission (SEC) has been criticized for its lawsuit against Ripple and a crypto exchange LEJILEX along with the Crypto Freedom Alliance of Texas (CFAT) filed a lawsuit against the regulator, seeking a declaration that “secondary-market sales of digital assets like the ones that LEJILEX intends to facilitate through its exchange are not sales of securities.”

XRP price dropped below $0.55 on Thursday. 

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Daily Digest Market Movers: SEC v. Ripple lawsuit moves beyond remedies-related discovery

• SEC v. Ripple lawsuit has moved past the discovery stage on the February 20 deadline. The two parties are working on their remedies-related briefs. 
• The three key deadlines in the legal battle between the two firms are:
  • March 13: When SEC files remedies-related brief 
  • April 12: Deadline for motions opposing remedies proposals
  • April 29: Final remedies deadline
• On April 29, the court will determine the penalty for Ripple’s institutional sales and the case will likely draw to a close, unless there is a trial. 
• The LEJILEX crypto exchange and the Crypto Freedom Alliance of Texas (CFAT) sued the SEC on Wednesday, seeking a declaration that “secondary-market sales of digital assets like the ones that LEJILEX intends to facilitate through the http://Legit.Exchange are not sales of securities.
• The exchange is seeking the declaration under the Declaratory Judgment Act, asking the court to order that secondary market sales of digital assets are not sales of securities, declaring that the does not need to register with the SEC as an exchange, broker, or clearing. 
• The lawsuit marks the first time a crypto exchange has sued a regulator before the launch of a project, asking the court to adjudicate questions related to digital asset securities. 
• The regulator has sixty days to respond to the lawsuit. 

Technical Analysis: XRP price suffers a correction, further decline likely

XRP price is currently in an uptrend. The altcoin slipped below the psychologically important $0.55 level on Thursday and a sweep of the 23.6% Fibonacci retracement level is likely at $0.5219.

XRP price could resume its rally towards the 78.6% Fibonacci retracement of its drop from the 2024 peak, at $0.6073, once its bounces off support at $0.5219. The Moving Average Convergence/ Divergence (MACD) indicator shows green bars that imply there is positive momentum. The Awesome Oscillator (AO) reveals that the asset’s price trend could reverse, the red bars signal a likely shift in the direction of XRP price. 

XRP/USDT 1-day chart

A daily candlestick close below the 23.6% Fibonacci retracement, at $0.5219 could signal that XRP price is likely to correct further. A sweep of $0.50 is likely and XRP price could recoup its losses, once it closes above this level.