A cryptocurrency that teaches its investors the concept of patience, XRP, showed a modest increase of 0.6% in the last 24 hours. Accordingly, it raised its price to $0.435. This rise coincides with a broader recovery in Bitcoin’s price, which saw a 1.8% increase to around $58,100 during the same period. Now, the question on everyone’s mind is whether the rise in XRP will continue.
XRP Price Recovers After Downward Breakout
Recently, XRP’s price broke downward from a falling wedge pattern, a relatively rare event that typically triggers significant price movements. After reaching a low of $0.382, XRP showed a slight recovery. Currently, the price action appears to be forming a bearish flag, indicating a potential decline in the near term.
Technical indicators show that XRP is trading below key moving averages, such as the 21-day, 50-day, and 200-day SMAs, which typically act as resistance levels. If the bearish flag resolves downward, XRP could potentially drop by 17% to around $0.35, with intermittent support expected around $0.371.
On the other hand, the bullish scenario suggests that XRP regains ground within the falling wedge, targeting resistance levels at $0.45, $0.47, and $0.48. If these levels are surpassed, $0.55 could be easily reached.
XRP Also Affected by Legal Developments
Market sentiment surrounding XRP is influenced not only by technical models but also by ongoing legal developments. As speculation about the resolution of Ripple’s lawsuit with the SEC increases, market participants eagerly await a final decision by July 31. The approaching deadline of July 26 to file expert testimonies heightens anticipation within the cryptocurrency community.
Despite overall positive market sentiment, the cryptocurrency XRP continues to face significant challenges, highlighting the disconnect between investor expectations and actual price performance. This discrepancy indicates that factors beyond general market optimism are affecting XRP’s price trajectory. However, it is worth noting that this impact has existed for a long time for XRP. Therefore, expecting significant increases for XRP before the lawsuit concludes seems difficult for now.