On Thursday, XRP rose 5.26%, to end the day at $0.44439. Optimism about a Ripple victory in the SEC vs. Ripple and US Treasury Secretary Janet Yellen provided support. Technical indicators remain bullish, indicating a return to $0.50.
On Thursday, XRP rose 5.26%. Partially reversing a 9.87% drop on Wednesday, XRP ended the day at $0.44439. XRP avoided below $0.41 for the first time since November 2022.
A mixed start to the day saw XRP drop to an early low of $0.41280 before making a move. Moving away from the first major support level (S1) at $0.3963, XRP rallied to a late afternoon high of $0.45550. However, failing to reach the first major resistance level (R1) at $0.4615, XRP pulled back to end the day at $0.44439.
Hopes of a Ripple Victory and the Support Provided by the US Government.
The ongoing case SEC v. Ripple was back in the spotlight on Thursday. Defense attorney James Filan shared the SEC’s response to the Ripple filing on Monday, referencing the Bittner and Voyager cases, to Chief Judge Torres.
US Treasury Secretary Janet Yellen contributed to the bullish session on Thursday. The former Fed chair assured investors that US bank deposits are safe and that regulators have the tools to deal with a banking crisis.
Investors should monitor updates on the SEC vs. Ripple. While the rulings on the Hinman Documents and the Summary Judgment Response Briefs could come at any time, a response from the Court to the Ripple and SEC filings will attract a lot of interest.
However, the lack of updates on the SEC vs. Ripple would leave regulators and lawmakers to influence, with Binance and Coinbase (COIN) in the spotlight.
This afternoon, US economic indicators and Fed talk will give direction. US private sector PMIs and FOMC member James Bullard will generate interest as investors assess the likely effects of Fed monetary policy on the US economy.
XRP Price Action – Technical Indicators
A bearish start to the day saw XRP fall from an opening price of $0.44452 to a low of $0.43843.
XRP needs to avoid the pivot at $0.4376, in order to target the first major resistance level (R1) at $0.4623. A move through Thursday’s high of $0.4555 would indicate a bullish session. However, the broader crypto market and the SEC vs. Ripple would need to support a breakout.
In the event of another prolonged rally, XRP would likely test the second major resistance level (R2) at $0.4803, and resistance at $0.50. The third main resistance level (R3) sits at $0.5230.
The 50-day EMA has turned away from the 100-day EMA, and the 100-day EMA has broken out from the 200-day EMA. The EMAs delivered bullish signals.
A hold above the 50-day EMA ($0.40861) would support a break from R1 ($0.4623) to the target of R2 ($0.4803) and $0.50. However, a drop through the S1 ($0.4196) and 50-day EMA ($0.40861) would bring the 100-day EMA ($0.39495) and S2 ($0.3949) into play. A drop through the 50-day EMA would send a bearish signal.
By Audy Castaneda
