• Judge Analisa Torres granted approval for the SEC’s recent request to initiate an appeal regarding the July 13 verdict on XRP classification as a security.
• Ripple’s price has taken a sharp dive post-court decision, erasing all progress achieved in the July 13 surge.
• Ripple’s General Counsel holds a positive outlook, asserting that the odds remain in their favor.
Court Approves SEC Appeal
The US Securities and Exchange Commission (SEC) received approval from Judge Analisa Torres to proceed with an interlocutory appeal regarding Ripple’s XRP classification as a security when sold to institutional investors. This push for an appeal originates in the Terraform Labs case, where Judge Jed Rakoff rejected the firm’s plea to dismiss the case based on Judge Torres‘ prior judgment in the SEC vs. Ripple legal tussle.
Ripple Price Plummets
The news of court approval triggered uncertainty over XRP’s status and caused its price to plummet rapidly by 14%. Its decline over past seven days stands at 20%, reaching a rest at $0.506 at the time of writing. The broader cryptocurrency market also witnessed a downturn during this period, suggesting that this dip might not be solely attributed to Ripple’s situation but also other factors influencing crypto markets collectively.
Liquidation of Positions
Around this pivotal announcement, nearly $23 million worth of XRP long positions were liquidated in less than one hour across various crypto exchanges around the globe.
Odds Still Favorable For Ripple
Despite this sudden slump, Ripple’s General Counsel Stu Alderoty remains optimistic about their chances against the financial regulatory body and asserts that they still remain favorable despite these current odds.
What Happens Now?
A high-stakes countdown has commenced with the SEC’s motion deadline and Ripple’s imminent response being closely watched by both parties involved in this ongoing lawsuit and by crypto markets alike. It remains uncertain what will happen next but it is likely that any further developments will heavily influence XRP prices going forward across all major crypto trading platforms worldwide.