On Sunday, XRP rose 0.02% to end the day at $0.37794. The SEC vs. Ripple silence left XRP trailing behind the broader crypto market, with XRP more sensitive to regulatory talk. Technical indicators remained bearish, indicating a return to below $0.36.
On Sunday, XRP rose 0.02%. Following a 0.13% loss since Saturday, XRP ended the week down 2.11% at $0.37794. XRP ended the day at less than $0.38 for the third session in a row.
After a range-bound morning session, XRP fell to a low of $0.37500 by late afternoon. Pulling away from the first major support level (S1) at $0.3718, XRP rallied to a late high of $0.38055 before pulling back. Failing to reach the first major resistance level (R1) at $0.3816, XRP pulled back to end the day below $0.38.
Regulatory Risk Jitters Left XRP Flat for the Session
There were no SEC vs. Ripple case updates to guide investors on Sunday. The lack of news left investor sentiment towards the current regulatory environment, as well as a likely change in the regulatory landscape, to peg XRP to more significant gains.
Over the weekend, the G20 updates caught XRP by surprise. On Saturday, the G20 tasked the Bank for International Settlements (BIS), the Financial Stability Board (FSB) and the International Monetary Fund (IMF) to launch a global regulatory framework.
The decision to offer a global crypto regulatory framework over a crypto ban was crypto-positive. However, investors may view the IMF involvement as crypto-negative. At the G20, the managing director of the IMF suggested that banning cryptocurrencies should be an option.
With Europe taking a more crypto-friendly stance, the G20 could derail the EU’s plans to become the center of the Western world.
XRP Price Action – Technical Indicators
A range-bound start to the day saw XRP rally to an early high of $0.37809, before falling to a low of $0.37618.
XRP needs to avoid the $0.3755 pivot to target the first major resistance level (R1) at $0.3807. A return to $0.38 would signal a bullish session. However, the broader crypto market and SEC vs. Ripple talk would need to support a breakout.
In the event of a prolonged rally, XRP would likely test the second major resistance level (R2) at $0.3834 and resistance at $0.3850. The third main resistance level (R3) sits at $0.3889.
A breakout of XRP from R1 ($0.3807) would give the bulls a run on R2 ($0.3834) and the 50-day EMA ($0.38492). A move of XRP through the 50-day EMA ($0.38492) would send a bullish signal. However, a failure to move through the 50-day EMA ($0.38492) would leave major support levels in play.
Investors should continue to monitor crypto news updates related to the SEC vs. Ripple. News related to Binance and FTX will also attract interest.
By Audy Castaneda
