- Summary:
- XRP price rose by 5 percent on Tuesday, with investors betting on a potential settlement in the SEC vs Ripple case this week.
XRP price spiked on Monday, gaining 5.2 percent on the daily chart at press time to trade at $0.633. The crypto coin has found stability at a critical time, with Ripple’s case versus the Securities and Exchange Commission (SEC) seemingly entering the homestretch. The latest gains come amidst a wider nosedive across the cryptocurrency market in the last 24 hours.
Furthermore, XRP is the highest gainer among the top 70 ranked crypto assets by CoinMarketCap in the past 24 hours, and is only bettered by Book of Meme (BOME) among the top 100. This will likely build a strong positive sentiment around the asset in the near term.
A leaked image shared on social media platform X on Monday suggests a scheduled meeting between XRP and the SEC on Thursday, August 1, and has generated a buzz about rising prospects of a settlement. However, the source of the image had not been verified as of this writing. Nonetheless, the sentiment around it will likely keep XRP price on the ascending trajectory. The SEC’s case against XRP issuer Ripple Labs is based on the former’s classification of the company’s sale of On-Demand Liquidity (ODL) XRP tokens as unregistered securities, and has been dragging on since December 2020.
Momentum indicators
The momentum on the 2-hour XRP price chart shows that the buyers are currently in control. The price has broken above the upper band on the Bollinger Bands indicator and is above the $0.630 psychological mark. Also, the Moving Average Convergence Divergence (MACD) is above the signal line, adding to the support for the upside.
Support and resistance levels
The buyers will likely keep XRP price on the upward trajectory if they manage to keep it above the $0.625 pivot. In that case, the first barrier could come at $0.637, beyond which the buyers could head higher to test $0.646 in extension. Conversely, a move below $0.625 will favour the sellers to take control. That could see the downside find the first support at $0.612, but a breach of that mark could strengthen the downside further and invalidate the upside narrative. Furthermore, the sellers will likely extend their control to potentially take XRP price to test the second support at $0.600.
