XRP Price Skyrockets 20% After Ripple Vs SEC Lawsuit Winds Up

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As a seasoned analyst with over two decades of market experience under my belt, I must say that the recent surge in XRP price following the Ripple vs SEC lawsuit verdict has been nothing short of exhilarating. The crypto landscape is notorious for its volatility and unpredictability, but even by those standards, this turn of events was a rollercoaster ride.

As a crypto enthusiast, I can’t help but feel elated as the price of XRP soars skyward, casting a radiant glow across the cryptocurrency landscape. The news that the prolonged legal battle between Ripple and the Securities and Exchange Commission (SEC) has reached its resolution has sent ripples of joy through our community.

XRP Price Jumps On Ripple Vs SEC Lawsuit End

On Thursday, the value of XRP surged by 20%, fully recovering from the drop on Monday, due to the resolution of the legal battle between Ripple and the SEC. The crypto community had been expecting a settlement since early July, as numerous XRP transactions sparked conjecture among them.

Nevertheless, Judge Analisa Torres decided on Wednesday that Ripple will pay a $125 million civil penalty. Additionally, she issued a warning to the blockchain company about potential future violations of securities laws by imposing an injunction.

Finally over…for now. Thanks again James! Here are my quick takeaways on the ruling:

— Fred Rispoli (@freddyriz) August 7, 2024

In December 2020, the Securities and Exchange Commission (SEC) filed a lawsuit against Ripple, claiming they broke U.S. Securities Law by selling their token XRP. A ruling in July 2023 dismissed accusations involving secondary transactions of XRP, like those that take place on exchanges. Yet, Ripple still needs to address allegations concerning direct institutional sales.

Currently, Ripple is facing a significant achievement given the recent imposition of a $125 million fine. Yet, it’s worth noting that the Securities and Exchange Commission (SEC) plans to challenge both rulings in the forthcoming weeks, which might add more complexity to XRP‘s situation.

Technical Indicators Turn Bullish As XRP Rallies

The surge in XRP‘s price persisted after a temporary halt above the $0.5 support and resistance level at $0.52 on Wednesday. This was followed by the announcement of the lawsuit being resolved, which attracted a multitude of traders to the XRP market. Consequently, the price climbed to challenge the $0.64 barrier on Thursday.

Currently, as I’m typing this, the price of Ripple is around $0.618. Several factors, including the Relative Strength Index (RSI), are reinforcing an upward trend. At 69, the RSI suggests a strong bullish sentiment among traders who believe that the price could rise to approximately $0.7 in the near future, potentially pushing the rally beyond $1.

In simple terms, the 50-day moving average that has been increasing is nearly expected to surpass its previous level, the 50-day moving average. This situation, known as a “golden cross,” typically indicates a positive or bullish trend, suggesting an optimistic future perspective.

As open interest in the futures market along with trading volume increases, it’s a positive sign to take note of. According to Coinglass data, open interest has surged by 50% within 24 hours to reach approximately $1.19 billion.

XRP Price Skyrockets 20% After Ripple Vs SEC Lawsuit Winds Up

Investors should stay alert as prices are rapidly rising. Some may choose to cash out once they reach significant profit targets due to the surge that started on Monday from the $0.43 low. This could lead to an accumulation of selling pressure at higher levels. For a bullish trend to be confirmed, it’s crucial for XRP‘s price to close above the $0.6 support level in a single day. If it falls below this level instead, we might see the XRP price drop to around $0.55.

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2024-08-08 15:44