An analyst has opined that there is still potential upside for XRP, citing the token’s significant underlying technical and fundamental developments.
In a TradingView post on June 29, RLinda pointed out that XRP is on the brink of a possible breakout that could elevate the token above $0.70.
She pointed out that the cryptocurrency has been trading within a wedge pattern, facing resistance and showing signs of consolidation. Technically, RLinda pointed out that XRP is continuously testing the wedge resistance.
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Despite decreased volatility, buyers maintain a support level of $0.4637, preventing the price from falling further. This persistent support could lead to another retest of the resistance, increasing the likelihood of a breakout.
A consolidation above $0.4962 is a critical indicator of a market shift, potentially propelling XRP to targets of $0.6265 to $0.73. The support and resistance levels identified by the analyst are crucial markers for traders.
The analyst anticipates buyers will soon break through the bearish resistance, rallying toward the projected targets. Should XRP consolidate above $0.4962, it may pave the way for a surge to $0.73, marking a significant price movement.
The Impact of SEC v. Ripple case
The analyst also noted that the critical factor influencing XRP’s price is the ongoing Securities Exchange Commission (SEC) v. Ripple litigation. A favorable resolution could provide the impetus for a substantial price rally.
Notably, the case has been a pivotal moment for the cryptocurrency sector, as its outcome could set a significant precedent for cryptocurrency regulation.
Ripple’s CEO, Brad Garlinghouse, believes that a final verdict in the SEC v. Ripple case might come by the end of the summer.
In summary, the court found that Ripple violated federal securities laws through institutional sales of XRP but dismissed other charges. Ripple Labs is contesting the SEC’s proposal to fine the company nearly $2 billion, advocating for a civil penalty not exceeding $10 million instead.
It’s worth noting that a move towards $0.70 will be crucial in reviving investor interest in XRP. The asset has faced questions regarding its sustainability due to its failure to record significant price momentum.
However, as reported by Finbold, crypto analyst TradingShot suggested that XRP’s historical trading patterns hint that talk of the token’s demise could be premature.
XRP price analysis
At press time, XRP was trading at $0.47 with daily losses of 0.70%. On the weekly chart, the token is down by 2.5%.
Overall, XRP has been crashing recently and has struggled to reclaim the $0.50 zone. The token is currently facing strong support at $0.45, and maintaining this level is key to helping it reclaim $0.50.
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