On Wednesday, XRP bucked a downtrend from the crypto market for a third session, rising 2.33% to end the day at $0.38899. Investors ignored the news that Silvergate Bank plans to liquidate, with SEC vs. Ripple case updates providing XRP price support. Technical indicators turned bullish, signaling a return to $0.45.
On Wednesday, XRP rose 2.33%. Following a 2.68% gain on Tuesday, XRP ended the day at $0.38899. Significantly, XRP revisited the 0.40 level for the first time since February 21.
A mixed start to the day saw XRP fall to a mid-morning low of $0.37248. Breaking away from the first major support level (S1) at $0.3700, XRP rallied to an early afternoon high of $0.40117. XRP broke above the first major resistance level (R1) at $0.3873 and briefly through the second major resistance level (R2) at $0.3944 before pulling back to end the day at $0.38899.
SEC vs. Ripple Case Rulings Provides Further XRP Price Support
Investors continued to respond to Monday’s court rulings in the SEC vs. Ripple. Presiding Judge Torres granted and denied the motions of both sides. However, the courts rejected further SEC motions to exclude expert witness testimony, putting the defendants in a better position.
The latest Court rulings brought the SEC vs. Ripple case back to market focus at a difficult time for the crypto market. The result could prove pivotal for the broader digital asset space. On Wednesday, news that Silvergate Bank was planning to close its doors added to market angst.
Ripple CEO Brad Garlinghouse had this to say:
“The headwinds keep growing – with the SEC declaring war on crypto, Chair Gensler continues to harp that firms simply need to come in and register, but the truth is there’s no infrastructure in place for a registered token to trade nor any clarity as to what these tokens are.”
Garlinghouse further stated the following:
“If you want to regulate, then regulate. Put in the hard work to build a framework and set guidance, as so many other G20 countries are already doing. The 27 EU member countries can agree on a set of rules with MiCA… What’s stopping the US?!”
XRP Action Price – Technical Indicators
XRP rose 0.34% to $0.39031. A mixed start to the day saw XRP fall to an initial low of $0.38580, before rising to a high of $0.39031.
XRP needs to avoid the $0.3875 pivot to target the first major resistance level (R1) at $0.4026. A return to $0.40 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 $0.4162, and resistance at $0.42. The third main resistance level (R3) sits at $0.4449.
A hold above the 200-day EMA ($0.38318) would support a break of R1 ($0.4026) to give the bulls a run into R2 ($0.4162) and $0.42. However, a drop through the EMAs would bring S1 ($0.3739) into play. A drop in XRP through the 50-day EMA ($0.37766) would send a bearish signal.
By Audy Castaneda
