XRP Bears to Target $0.4150 as SEC v Ripple Optimism Wanes

XRP increased on Sunday by 0.20%. XRP lost 1.44% on Saturday, but recovered some of that loss to close the week down 5.35% at $0.42523. XRP failed to maintain the $0.43 mark for a second straight day despite the positive session.

XRP saw a negative first hour, dropping to $0.42154. After finding support at the First Major Support Level (S1) at $0.4218, XRP climbed to a high of $0.4316 in the middle of the afternoon. Before temporarily tumbling to under $0.4250, XRP broke through the First Major Resistance Level (R1) at $0.4286. But XRP ended the day on a high note, closing at $0.42523.

Ripple Angst v. SEC returns XRP to below $0.43

With no new developments in the SEC v. Ripple case to affect sentiment, the XRP Community had a peaceful finish to the week. Investors were left in a limbo due to the absence of court decisions, and expectations for court movement in May quickly faded.

The confidence of investors in a Ripple triumph has dwindled recently. Investors will undoubtedly get increasingly uneasy the longer presiding Judge Torres waits to issue Court decisions. However, given the probable significance of the outcome on the US regulatory environment, the discussion may take a while.

The Hinman papers card is still available for play by Ripple and the Defendants. The topic, which received a lot of attention at the beginning of the year, has received no more comment from the SEC or the Defendants.

In regards to the Hinman documents, Ripple CEO Brad Garlinghouse said in February that "when those come to light, I think you will see more kind of like, how is it possible for the SEC to decide to bring a case against Ripple given what they were saying within their own walls."

To provide some context, William Hinman is still a key player in the SEC v. Ripple lawsuit. Bitcoin (BTC) and Ethereum (ETH) are not securities, according to a well-known 2018 lecture by William Hinman, a former director of the Division of Corporation Finance at the SEC.

Hinman's association with Simpson Thacher is the problematic aspect of the speech. A organization that supports Enterprise Ethereum is comprised of Simpson Thacher. Hinman rejoined Simpson Thacher after leaving the SEC.

The courts ordered the SEC to provide out the papers to the Defendants after the SEC tried to hide them from the public under the attorney-client privilege. The information included in the speech-related papers is still classified, but it may have an impact on how the case turns out.