Ripple is set to introduce a new stablecoin, Ripple USD (RLUSD), pegged to the US dollar. This stablecoin aims to bridge the gap between traditional finance and the cryptocurrency world. It will be available on the XRP Ledger and Ethereum platforms, with a launch planned for 2024, though the specific date hasn’t been announced.

Despite not being released yet, Ripple USD has already drawn criticism from the United States Securities and Exchange Commission (SEC). The SEC has labeled it an “unregistered crypto asset.” This isn’t the first clash between Ripple and the SEC. They have been in a legal battle for years over allegations that Ripple’s sale of its XRP token constituted an unregistered securities offering.

The ongoing lawsuit has recently moved to the trial phase, with the SEC demanding a hefty $2 billion fine from Ripple. Ripple has countered, arguing that the penalty should be no more than $10 million, emphasizing that there are no direct fraud allegations against the company.

In the meantime, Ripple’s native token, XRP, has been experiencing a significant decline, currently trading at around $0.47. However, some analysts remain optimistic. One such analyst, EGRAG CRYPTO, sees this low price as a buying opportunity. He highlighted the Relative Strength Index (RSI) of XRP, which has been notably low in recent days. Currently, the RSI stands at 42, after dropping below 25 last week.

The RSI is a metric that measures the speed and change of price movements. An RSI above 70 suggests an asset might be overbought, indicating a potential price correction. Conversely, the recent low RSI points could signal a potential upward movement for XRP.

Earlier, analyst Matthew Dixon predicted a decline in XRP’s value if inflation in the United States surged. Contrary to expectations, the inflation rate came in lower, causing XRP’s price to briefly spike to nearly $0.50. However, the token’s price fell again after the US Federal Reserve decided to maintain current interest rates.

Overall, Ripple’s journey with its new stablecoin and the ongoing SEC lawsuit highlights the evolving landscape of the cryptocurrency industry. The developments surrounding Ripple USD and XRP will be closely watched by both crypto enthusiasts and traditional finance experts, as they reflect broader trends and challenges in integrating digital assets with the established financial system.