- Summary:
- The market wait for a potential turnaround in the SEC vs Ripple case, and the XRP price trajectory could be defined by next week's meeting.
What’s driving the XRP Price?
XRP price sustained its upside into the weekend, gaining 3.1 percent in the intraday on Saturday to trade at $0.592. The crypto asset’s movement is currently dependent on the SEC vs Ripple case and has entered a crucial phase as speculation mounts on whether the two parties will opt for a settlement. According to analytics site, CoinMarketCap, XRP price has risen by 14.7 percent in the last seven days, with only Solana and Dogecoin bettering that achievement among the top 10 crypto assets.
Ripple’s lawyers will meet representatives of the Securities and Exchange Commission (SEC) on July 25, setting the platform for potentially sustaining the recent upside momentum in the new week. The meeting was initially scheduled to take place on July 18, but the SEC canceled it before rescheduling. The cancellation initially sent XRP down by 8.9 percent on Thursday, but news of rescheduling has seen it recover half of the losses incurred.
Momentum indicators
The RSI indicator on the daily price chart is at 65 at the time of writing, advocating for continuation of the upside. Similarly, the MACD bar graphs are wide and in green, with the MACD indicator line above the signal line. This also supports control by the buyers.
Meanwhile, the current price is above the 12-EMA ($0.542), adding further support to the bullish view. In addition, support for the upside is signaled by the 12-EMA cross above the 26-EMA recently. Furthermore, the daily price chart is above the signal line on the Bollinger Bands indicator. Also, the price crossed above the upper band in five of the last seven days. These are strong signs of control by the buyers.
Near-term support and resistance
The $0.500 mark offers critical support for the continuation of the recent rally, and it also serves as a psychological pivot mark. Therefore, XRP price will need to stay above that mark to potentially build the momentum to retest the year-to-date high price of $0.723.
The upside momentum will likely continue if XRP price stays above the $0.588 mark. The first barrier could be encountered at $0.594, but a break above that mark will strengthen the upside momentum to breach the mark and potentially test $0.600. Alternatively, a break below $0.588 will favour the sellers to take control. In that case, the first support could come at $0.583. Extended control by the sellers at that point will likely break the support, invalidating the upside narrative and potentially sending the XRP price lower to test $0.580.
