Important Updates on Ripple’s Lawsuit Against SEC, Shiba Inu (SHIB) Bearish Outlook and More: Bit Summary August 19

TL;DR

Ripple was fined $125 million for violating certain securities laws, and while the company sees it as a victory, the SEC could appeal. SHIB’s valuation is down more than 25%, with signs of reduced investor interest and reduced whale activity. Despite a 12% price decline, analysts suggest that Bitcoin (BTC) could soon break out and hit new highs. Ripple vs. SEC

Although the legal battle between Ripple and the US Securities and Exchange Commission (SEC) witnessed a major development earlier this month, some experts believe that the case is far from over.

We recall that Judge Torres ruled that the company had violated certain securities laws and must pay a fine of 125 million dollars. The sum may seem substantial, but it’s actually a fraction of the regulator’s initial demand for a whopping $2 billion.

Ripple CEO Brad Garlinghouse and many other industry participants called the decision a “victory” for the company. The executive also assured that the company will respect the court’s decision and pay the penalty.

It’s worth noting, however, that the SEC has the right to appeal the ruling. Not long ago, Ripple’s chief legal officer, Stuart Alderoty, said that such action would not surprise him. On the other hand, he pointed out that the agency will not be able to claim some of the most essential court rulings:

“XRP’s status as ‘not a security’ and XRP’s secondary market trading as ‘not security transactions’ that is the law and will not change even if the SEC appeals.”

Alderoty also estimated that the SEC’s chances of winning the lawsuit are slim, arguing that the Court of Appeals reverses initial court decisions in less than 10 percent of cases.

“Given Judge Torres’ careful and thoughtful treatment of all the issues in this case, we are very confident that any appeal would be challenging for the SEC. If he were advising the SEC (not as Ripple’s chief legal officer but as a lawyer), I would recommend that they not appeal,” he concluded.

Others such as Dennis Kelleher (a former senior Senate staffer) surmised that the Commission has a strong chance of winning on appeal:

“US SEC 90% Likely to Win on Appeal: Ripple Judge Reversed 90 Years of Law When He Ruled Sophisticated Investors Get Securities Law Protection, Not Unsophisticated Investors That’s why all the other judges have rejected it.”

SHIB Bears in Control

The popular meme coin – Shiba Inu (SHIB) – remains one of the hottest topics in the crypto space despite its recent price drop. Its valuation has fallen more than 25% on a monthly basis, while its market capitalization fell below $8 billion.

Some worrying signs suggest that the pain for bulls may continue in the near future. That is, they include the net growth of the network, which is down 0.19%, this could indicate a waning interest in the cryptocurrency and a decrease in community participation.

The number of large transactions, which is an indicator of whale activity, has also headed south. Reduced activity by large investors could be seen as a sign that the general sentiment around the meme coin is weakening, which could lead to more selling pressure and a possible price drop.

How is BTC?

Last but not least, we will touch on Bitcoin (BTC), whose price has also seen better days. It is currently trading around $58,500 (according to CoinGecko data), which is a 12% drop in the last month.

Many analysts believe that a bullish move could soon replace the downtrend. User X Mags believes that BTC has formed an “extension wedge” on its price chart, waiting for a break to a new all-time high above $90,000.

Titan of Crypto also chimed in, suggesting that BTC price fluctuations have started a “megaphone pattern” that could be followed by a rally to $86,000. The formation is a popular technical analysis pattern characterized by two diverging trend lines that resemble a megaphone. It often indicates a period of growing uncertainty in the market and can be followed by a wild move in either direction.

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