Ripple weakens ahead of US CPI and prevailing uncertainty regarding its battle with SEC

Ripple bulls are trying their best not to slide deeper below the 50-period simple moving average (SMA).

Today’s slide comes ahead of the key US macro-economic data (CPI & FOMC minutes), slated to be released later today.

How can these affect the crypto market?

Upside surprise in the inflation may contribute to the Fed’s decision to maintain the higher interest rates for a longer period. This could potentially extend pressure on the risky assets including crypto currencies.
 

However, the lower-than-expected inflation reading may play in favor of the highly anticipated interest rate cuts. This may translate into XRP moving higher.

Policy-makers views

The FOMC minutes can also sway market’s sentiment. Depending on it’s tone (hawkish/dovish) investors may reassess their view on their fund’s allocation towards the riskier assets such as crypto.

An ongoing major crypto court battle

The ongoing SEC vs Ripple legal battle may too have a profound effect on the coin’s price trajectory. A current state of uncertainty, due to lack of case-related news, adds to negative pressure on the coin.

While Judge Analisa Torres ruled that Ripple breached securities laws by selling unregistered XRP to institutional investors, the SEC’s appeal against the Programmatic Sales ruling remains pivotal.

A successful appeal could impact the US digital asset landscape.