Important insights:
- On Friday, XRP rose 9.8% to shake off the big losses on Wednesday and Thursday.
- The turnaround was seen as the Ripple Defense Team submitted a response to the SEC’s overview of the Hinman document.
- The main technical indicator is bearish. XRP is well below the 50-day EMA.
On Friday, XRP rose 9.81%. XRP ended the day at $ 0.3843, reversing the 7.44% slide from Thursday. A rise was seen as the market focused on Friday’s SEC vs. Ripple Court date.
Extensive crypto rally provided XRP support as the market aimed to de-peg the Terra UST (UST) and move away from the end of Terra LUNA.
The market power shifted as the tether (USDT) returned to the equivalent against the dollar. On Thursday, the USDT returned to the $ 0.95 level, raising concerns about the collapse of another Stablecoin.
Ripple sends a reply to the SEC briefs regarding Hinman documents
On Friday, Ripple submitted a response to the SEC Attorney / Client privilege claim regarding the famous William Hinman speech and memo.
Attorney James Philan shared Ripple’s reaction on Twitter.
#XRPCommunity #SECGov v # Ripple #XRP Defendant Ripple submits response to SEC Attorney Client privilege claim for Hinman speeches and memos https://t.co/iI3OGv3yW4
— James K. Filan ???? 96k + (Beware of scammers) (@ FilanLaw) May 13, 2022
To Judge Sarah Netburn, the Ripple defense team wrote that the SEC’s allegations were wrong for the following reasons:
- “The record in this case shows that Mr. Hinman gave his speech in his personal position.
- He asked a SEC colleague for advice on how best to package his remarks.
- The discussion of legal concepts in some of their answers by a particular colleague does not imbue them with attorney / client privileges.
- The Second Circular Act makes it clear that even attorneys, advice on policy and messaging issues is not protected by attorney / client privileges.
- Mr. Hinman had the right to contact SEC lawyers and receive privileged legal advice in fulfilling his role as Corporate Finance Director, but he was not informed of the content of his personal remarks. Not within the scope of a lawyer-client relationship like.
- The communication in question does not contain sensitive information about the agency protected by attorney / client privileges.
- Even if the SEC could establish an element of privilege (though not), the SEC would at best identify a privilege claim that it lacks a privileged position because it belongs to Mr. Hinman.
The submission provides details of the four key areas outlined above, in addition to William Hinman’s testimony of the 2018 speech.
In the background, William Hinman, a former SEC director of corporate finance, is a central figure in the SECvRipple case.
Bitcoin (BTC) and Ethereum (ETH) are not securities, Hinman said in a 2018 speech. The SEC seeks to protect documents and emails related to internal discussions and Hinman’s famous speech.
The SEC will respond to Ripple’s comments on Wednesday, May 18. In the case of XRP, the SEC’s response and court decisions could prove to be a crucial moment in this case.
Ripple (XRP) price action
At the time of writing, XRP was down 0.14% to $ 0.4214.
Technical indicators
XRP needs to go through a $ 0.4221 pivot to set the initial major resistance level to $ 0.4635. Broader crypto market support is needed for XRP to return to the $ 0.46 level.
For extended rallies, XRP should test the second major resistance level at $ 0.5056. The third major resistance level is at $ 0.5887.
If you fail to pass the pivot, the first major support level of $ 0.3804 will be enabled.
Except for another long-term sellout throughout the day, XRP should avoid less than $ 0.38. The second major support level is $ 0.3387.
The EMA and the 4-hour candlestick chart (bottom) send a bearish signal. At the time of this writing, XRP was below the 50-day EMA and is now $ 0.4934. This morning, the 50-day EMA withdrew from the 100-day EMA. The 100-day EMA has also withdrawn from the 200-day EMA, and XRP has become negative.
After passing the 50-day EMA, you can return to $ 0.55.
