XRP Price Update: Mixed Signals Amidst SEC Lawsuit and Inflation Woes

XRP Trading Volume Surges to $10.4 Billion Following Ripple vs. SEC Ruling

XRP price action on Wednesday offered a glimpse of the cryptocurrency’s current state: cautiously optimistic. Despite a brief dip below $0.60, XRP managed to finish the day at $0.6181, a 0.55% gain. This rise came despite broader market anxieties surrounding US inflation data.

Hotter-than-expected inflation numbers, initially causing investor angst, ultimately fueled a positive reaction in XRP and the crypto market as a whole. XRP climbed to a session high of $0.6212 before settling slightly below the $0.62 mark. However, compared to the total crypto market cap’s 1.50% increase, XRP lagged.

30-Minute chart and reaction to the US CPI Report.
XRPUSD 110424 30-Minute Chart

The lingering shadow of the SEC v. Ripple lawsuit continues to dampen XRP’s potential. With no updates on the case Wednesday, investors remain apprehensive as Ripple prepares to file its opposition brief by April 22nd. The size of any potential penalty for breaching securities laws hinges on this brief’s content.

While the crypto community anticipates the penalty outcome, a potential SEC appeal against the Programmatic Sales of XRP ruling carries more weight. This ruling, which investors have already factored into the price, did not address the possibility of appellate courts overturning it. The July 2023 market response to these rulings highlights this concern: XRP surged on the initial ruling but plummeted on the threat of an appeal.

US lawmaker intervention offers a counterpoint to the SEC lawsuit’s apprehension. Hopes for regulatory clarity and a potential XRP-spot ETF market provide some downside cushion. However, the classification of XRP and other altcoins as commodities or securities remains a hurdle before such an ETF market can flourish.

Weekly Chart sends bullish price signals.
XRPUSD 110424 Weekly Chart

Technically, XRP’s position above both the 50-day and 200-day EMAs sends bullish signals. A break above the April 9th high of $0.6424 could see bulls target the $0.6609 resistance level. Conversely, a breach below the 50-day EMA could lead to a test of the $0.5740 support level. The 14-day RSI reading of 52.61 suggests room for XRP to climb towards $0.70 before entering overbought territory.

XRP Daily Chart affirms bullish price signals.
XRPUSD 110424 Daily Chart

The 4-hourly chart paints a similar picture, with XRP hovering above its key EMAs. A return to the April 9th high could pave the way for a move towards the $0.6609 resistance. However, a break below both EMAs would expose the $0.5739 support level. The 4-hourly RSI, currently at 57.35, indicates there’s space for further gains before overbought conditions set in.

XRP Daily Chart reaffirms bullish price signals.
XRPUSD 110424 4-Hourly Chart

In conclusion, XRP’s price action reflects a mix of optimism and lingering uncertainties. While the SEC lawsuit and inflation concerns pose challenges, hopes for regulatory clarity and a potential XRP-spot ETF market offer some solace. Technically, XRP’s position suggests a potential upside, but key support levels remain crucial to watch shortly.

 


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Cryptolifedigital is a cryptocurrency blogger and analyst known for providing insightful analysis and commentary on the ever-changing digital currency landscape. With a keen eye for market trends and a deep understanding of blockchain technology, Cryptolifedigital helps readers navigate the complexities of the crypto world, making informed investment decisions. Whether you're a seasoned investor or just starting out, Cryptolifedigital's analysis offers valuable insights into the world of cryptocurrency.
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