Ripple is set to lose legal battle against the SEC, argues US Congressman


  • US Congressman Brad Sherman believes Ripple doesn't stand a chance against the regulator in the ongoing legal battle. 
  • Rep. Sherman believes XRP is a security for the reasons set forth in SEC's case against payment giant Ripple. 
  • As investors remain cautious of the court ruling and Fed policy, analysts predict a fall in XRP price to support at $0.36. 

US Congressman Brad Sherman commented on the SEC v. Ripple case. Rep. Sherman believes Ripple will likely lose its legal battle as the native cryptocurrency XRP is a security. 

Also read: Ripple battles the SEC with massive cross-border payment growth

SEC v. Ripple update 

In an interview, Congressman Brad Sherman, told FOX Enterprise that he believes the US Securities and Exchange (SEC) will prevail in its authorized struggle against Ripple, in a case which centers around whether XRP should be treated as a security or not. Sherman believes XRP is a security; and that therefore, the payment giant doesn't stand a chance against the regulator. 

In its lawsuit against Ripple, the SEC alleges that XRP is an unregistered security. The SEC accuses the corporation and two Ripple executives, Brad Garlinghouse and Chris Larsen, of raising $1.3 billion through the sale of XRP. 

Sherman is popular on crypto Twitter as the Congressional representative who pushed for a complete ban on cryptocurrencies. Eleanor Terrett, Journalist and Producer at FOX Business, tweeted:

When I asked Rep. Sherman why he thinks $XRP is a security, he told me "for the reasons set forth in the SEC's position" and went on to explain that XRP investors relied on Ripple's efforts to bump up the price. He then said the proof that he's right stems from the crypto exchanges.

Investors remain cautious ahead of court ruling

Analysts have a bearish outlook on XRP price and investors are cautious of the court ruling and Fed policy. Grizzly, a leading crypto analyst, noted that bears are defending the move to $0.39. The XRP/USDT pair is currently beneath a resistance zone, with the bias as a consequence lower. 

XRP-USDT price chart

XRP-USDT price chart 

Analysts at FXStreet believe XRP price will likely undo its gains as the market structure weakens. For key levels and targets in XRP price, check the video below:

 


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