XRP faces another tough week. Its price slipped for the third straight session, closing at $2.3260 after a 2.34% drop. The uncertainty around the SEC’s appeal in the Ripple case is shaking investor confidence. But a new lawsuit against the SEC could change everything.
Empower Oversight Turns Up the Heat
On February 5, Empower Oversight sued the SEC. The watchdog wants the agency to release documents related to a crypto conflict of interest probe. At the center of this lawsuit is William Hinman, the former SEC Director of Corporate Finance. He allegedly received millions from his former employer, Simpson Thacher, while influencing crypto regulations. Simpson Thacher promotes Enterprise Ethereum, raising eyebrows over potential bias.
Empower Oversight isn’t alone. Fox Business journalist Eleanor Terrett also filed a Freedom of Information Act (FOIA) request in December. Both are demanding transparency on Hinman’s dealings.
Why This Matters for XRP
If the SEC’s Office of Inspector General (OIG) report confirms conflicts of interest, the SEC could face immense pressure to drop its appeal against Ripple. This would be a game-changer for XRP. Dropping the appeal might trigger a massive price rally, possibly pushing XRP past its all-time high of $3.5505. But if the appeal continues, XRP risks sliding below $1.50.
XRP’s Price Struggles
XRP underperformed the broader crypto market, which saw a modest 0.96% decline. Technical charts send bearish signals for XRP in the near term. Investors remain cautious, watching the SEC’s next move closely.
Bitcoin Gains Amid Legal Drama
While XRP struggles, Bitcoin shows resilience. Utah’s progress toward a ‘Strategic Bitcoin Reserve’ bill has boosted BTC sentiment. The bill aims to classify Bitcoin as a strategic reserve asset, sparking hopes that the US could soon hold BTC in its reserves.
Anthony Scaramucci predicts the US might buy 400,000-500,000 BTC, driven by political support. If this happens, Bitcoin could hit $1 million faster than expected. BTC recently slipped slightly to $96,642 but remains strong amid macroeconomic factors.
What’s Next?
The SEC’s decision on Ripple and the potential US Bitcoin reserve are pivotal. For XRP, dropping the SEC appeal could ignite a bull run. For Bitcoin, political moves could push prices to new heights. Crypto investors should stay alert—the next big move might be just around the corner.
