In a landmark development for the cryptocurrency industry, the SEC has announced it will discontinue proceedings against Ripple in the long-running XRP lawsuit. This decision, confirmed by Ripple CEO Brad Garlinghouse, marks a decisive victory that could propel XRP to new heights. As previously reported, XRP’s initial surge to $2.59 following the SEC announcement may just be the beginning of a larger rally.
Breaking Down the SEC’s Decision
After more than four years of legal battles, the SEC’s withdrawal represents a watershed moment for both Ripple and the broader crypto industry. Attorney Jeremy Hogan has outlined four potential scenarios moving forward:
- Continued appeal by Ripple for precedent-setting ruling
- Appeal withdrawal with trial court judgment amendments
- Mutual agreement without judgment modifications
- Simple $125 million settlement payment
Technical Analysis Points to $6 Target
Crypto analyst Dark Defender’s Elliott Wave analysis suggests a powerful upward trajectory for XRP. This aligns with previous predictions of a potential 75% rally targeting the $4 level, though the latest analysis suggests even higher targets:
- Wave 3 target: $3.94 (161.8% Fibonacci extension)
- Wave 4 correction zone: $3.78-$3.94
- Final Wave 5 target: $4.92 (361.8% Fibonacci level)
- Ultimate price target: $6+
Market Implications and Trading Outlook
The breakthrough above the descending trendline at $2.47 signals strong bullish momentum. Key support levels have been established at:
- $2.30 (61.8% Fibonacci level)
- $2.22 (70.2% Fibonacci level)
- $1.79 (recent local low)
FAQ Section
Q: When will XRP reach $6?
A: Based on current Elliott Wave projections, XRP could reach $6 following the completion of Wave 5, though specific timing depends on market conditions.
Q: What are the key resistance levels?
A: Primary resistance levels are at $3.94, $4.50, and $4.92, with $6 as the ultimate target.
Q: How does the SEC decision affect XRP’s future?
A: The SEC’s withdrawal removes a major regulatory obstacle, potentially allowing for broader institutional adoption and exchange relisting.