The altcoin market's recovery momentum hit a snag as Bitcoin encountered a significant supply level at $65,000, causing a slowdown. Meanwhile, Ripple faces ongoing legal challenges from the SEC, leading to uncertainty and volatility in XRP prices.

Ripple's native currency, XRP, recently rebounded from a resistance level of $0.57 and continued its downward trend, forming a new lower high. The token has been correcting steadily for two months, influenced by a downward trend line on the daily chart. Dynamic resistance pushed the token down by 30%, from $0.744 to its current trading price of $0.522.

The SEC presented its final response in the compensation phase of its lawsuit against Ripple Labs, countering Ripple's claims of recklessness and lack of clarity in XRP's legal status. Despite Ripple's arguments, the SEC remains firm, emphasizing possible future violations by Ripple and the need for measures to prevent legal violations.

As a result, XRP price followed a volatile movement around $0.53 amidst uncertainty. The recent reversal of the falling trend line reduced the XRP price by 5% in the last 48 hours. If selling momentum continues and overall resistance remains strong, this altcoin could drop an additional 9.5% to reach the support level of $0.47. Buyers need to overcome the general trend line to regain control over this token.