As the end of 2024 approaches, XRP is still displaying a popular price movement, consolidating below $0.60 despite being handed a major regulatory clarity ruling out the possibility of the token being reclassified as a security.
This price movement has triggered some experts to question XRP’s viability in the cryptocurrency market. Still, the token’s proponents argue there is room for upside potential once the legal battle between Ripple and the Securities and Exchange Commission (SEC) concludes.
Part of the argument for XRP’s inability to capitalize on market momentum is the expectation that the SEC might appeal the most recent decision, in which the judge directed the blockchain company to pay $125 million for violating securities laws.
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With the amount being substantially less than the $2 billion demanded by the SEC, there is anticipation that the regulator might appeal before the early October deadline lapses.
Aside from the legal uncertainty, XRP is still trading below $0.60 despite the positive news generated by the token’s relisting on the Robinhood trading platform. Notably, XRP reacted positively to the news in the near term, gaining over 2% in the last 24 hours and trading at $0.58 as of press time.
This price movement reflects a bullish sentiment around XRP, considering that the 50-day simple moving average (SMA) is $0.5662, while the 200-day SMA is slightly lower at $0.5477. With the current price above both moving averages, XRP might be building up momentum for extended gains.
Additionally, the 14-day Relative Strength Index (RSI) is 58.36, signaling that XRP is not yet overbought. This implies room for upward movement before the price enters the overbought territory.
OpeAI o1 predicts XRP’s price
To explore how XRP will likely trade at the end of 2024, Finbold turned to OpenAI’s o1 artificial intelligence (AI) model, designed for complex queries, to predict the token’s valuation.
The OpenAI platform noted In a bullish scenario,the token will likely trade at $0.88, and in a more optimistic case, the $1.05 target remains ideal.
However, if bearish circumstances prevail, such as negative market sentiments, XRP could plummet to $0.33.
XRP technical outlook
With the AI model projecting the valuation of XRP based on key fundamentals, renowned cryptocurrency analyst, using the pseudonym CredibleCrypto, highlighted in an X post on September 17 what technical indicators are suggesting for the token. According to the expert, XRP is poised for what he termed a historic price breakout.
The market analyst explained that the digital asset, trading in a nearly seven-year compression pattern, is forming “the mother of all bull flags.” He noted that such long-term consolidation is rare in cryptocurrency, as many coins have not existed long enough to display such patterns.
Chart analysis indicated that XRP is nearing the end of its multi-year compression phase to support this projection. When this pattern breaks, it could lead to an explosive move.
CredibleCrypto noted that when the “old guard” — referring to early cryptocurrencies like XRP — “wakes up,” it could result in a legendary price surge.
With 2,435 days of compression behind it and significant trading volume during this time, XRP’s next big move will likely be confirmed if the $1 resistance is breached.
In summary, XRP’s trading in 2024 has been influenced by the regulatory battle, pushing the token to sustain an extended consolidation. However, if the regulatory aspect is resolved, the token could align with the technical indicators that are signaling bullish momentum in the future.
Disclaimer: The content on this site should not be considered investment advice. Investing is speculative. When investing, your capital is at risk.
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