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Crypto lawyer Stephen Palley affirms Ripple is a security while XRP price struggles to recover

  • XRP price has been trading sideways for the past two weeks unable to recover.
  • According to a popular cryptocurrency lawyer and analyst, XRP is in fact a security.

Back on December 22, 2020, the SEC filed charges against Ripple and two of its executives for allegedly conducting a $1.3 billion unregistered securities offering. XRP price plummeted and lost more than 60% of its value within a week after the announcement. 

XRP price can’t seem to recover from the SEC blow

Not only did the SEC charge Ripple, but most popular US-based exchanges have delisted XRP or halted trading. These announcements also caused XRP price to drop even lower reaching a local bottom of $0.173 on December 29, 2020. 

xrp price

XRP/USD 4-hour chart

From a technical perspective, XRP has established a descending triangle pattern on the 4-hour chart, which seems to be on the verge of a breakdown or breakout. The digital asset just got rejected from the upper boundary trendline and losing the $0.263 critical support level would send XRP price down to $0.188.

However, there is still a chance for XRP bulls to crash through the upper trendline of the triangle pattern on the 4-hour chart. This breakout can drive XRP price towards a high of $0.35 in the long-term.

Stephen Palley believes XRP is a security

A price breakdown would be far more likely if other popular analysts like Stephen Palley come out against XRP. Palley is a Blockchain and virtual currency attorney that believes XRP is in fact a security. In his latest tweet, Palley also mentions that Tether (USDT) is most likely corrupt and that Craig Wright is not the creator of Bitcoin.

Author

Lorenzo Stroe

Lorenzo Stroe

Independent Analyst

Lorenzo is an experienced Technical Analyst and Content Writer who has been working in the cryptocurrency industry since 2012. He also has a passion for trading.

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