- XRP is standing strong above the key support level despite SEC uncertainty in the industry.
- Multiple analysts are forecasting a massive upshoot for XRP in the mid to long-term.
XRP, the cryptocurrency associated with Ripple Labs Inc., has demonstrated remarkable resilience in recent weeks, maintaining its position above the $0.56 mark despite facing regulatory challenges with the U.S. Securities and Exchange Commission (SEC).
Technical Analysis Signaling XRP’s Bullish Outlook
One of the key technical indicators signaling positive momentum for XRP is the Fibonacci retracement levels. Currently, XRP price faces three significant resistances in its uptrend which include, the 50% Fibonacci retracement at $0.5629, the 61.8% Fibonacci retracement at $0.5812, and the psychological barrier at $0.60.
The Moving Average Convergence/Divergence (MACD) indicator also shows green bars, indicating positive momentum, while the Awesome Oscillator (AO) supports the notion of an intact uptrend.
However, the bullish thesis for XRP could be invalidated if there is a daily candlestick close below the 38.2% Fibonacci Retracement level, potentially signaling a retest of the $0.5446 low before resuming the climb towards $0.60.
Amidst these technical dynamics, the SEC versus Ripple lawsuit looms large over the cryptocurrency’s future. February 20 marked a notable milestone in the legal battle as it signified the end of the remedies-related discovery phase. This phase involved a formal exchange of information between Ripple and the SEC.
Ripple had requested a one-week extension to compile information requested by the SEC regarding post-lawsuit institutional sales of XRP, which was granted by the presiding Judge. This extension has heightened anticipation among XRP holders regarding the next steps in the legal proceedings.
Typically, after the discovery phase, both parties assess the strengths and weaknesses of their respective cases and may enter settlement talks, pursue summary judgments, or proceed to trial. The outcome of this phase could have implications for Ripple and XRP, influencing market sentiment and price action.
Despite the regulatory uncertainties, on-chain metrics present a bullish outlook for XRP. Large wallet holders have consistently added XRP to their holdings according to data from Santiment. On the other hand, retail investors have reduced their exposure.
XRP’s Future Outlook and Price Predictions
The positive momentum in XRP’s price is further supported by Brad Garlinghouse, the CEO of Ripple, who has expressed support for the launch of XRP Exchange-Traded Funds (ETFs).
Additionally, analysts like Marzell, founder of Crypto Pilot, have set optimistic price targets for XRP, forecasting a rise to $0.76 in the short term. Technical expert Dark Defender has also offered a bullish prediction, estimating potential gains of more than 35% with target levels at $0.6443, $0.6649, and eventually $0.7646.
This optimism is supported by XRP’s recent performance, as well as the broader market’s upward momentum, with Bitcoin (BTC) aiming for $60,000 and Ethereum (ETH) targeting $3,000.
Despite the positive outlook, XRP is currently trading at $0.5449, experiencing a 4% decline in the past 24 hours. However, the 24-hour trading volume has increased by 13.9% to $1.4 billion, indicating heightened activity and interest in the digital asset.
