XRP Bulls Inch Closer to $0.50 as Hinman Doc Ruling Resonates
- On Thursday, XRP extended the winning streak to five sessions, gaining 2.57% to end the day at $0.45978.
- Optimism toward the SEC v Ripple case delivered the bullish session.
- The technical indicators are bullish, signaling a return to $0.50.
On Thursday, XRP rose by 2.57%. Following a 1.48% gain on Wednesday, XRP ended the day at $0.45978. Significantly, XRP revisited the $0.47 handle for the first time in 13 sessions.
After a range-bound start to the day, XRP surged to a late morning high of $0.47277. XRP broke through the First Major Resistance Level (R1) at $0.4605 to test the Second Major Resistance Level (R2) at $0.4728 before easing back to end the day at $0.45978.
Renewed Optimism of a Ripple Victory Delivered Support
There were no updates from the ongoing SEC v Ripple case to draw interest on Thursday. The lack of more Court decisions left the Tuesday Court ruling in favor of Ripple to resonate. On Tuesday, Judge Torres denied the SEC’s Motion to Seal the Hinman documents.”
While XRP failed to revisit the $0.50 handle, the ruling was significant, with the SEC eager to shield the documents from the public.
Hawkish Fed chatter sent XRP back to sub-$0.45 before a late recovery, with progress towards a US debt ceiling deal delivering support.
The Day Ahead
It is a busier Friday session for XRP and the broader crypto market. While there are no US economic indicators to influence, Fed chatter will move the dial. After the hawkish commentary on Thursday, FOMC members Williams and Bowman and Fed Chair Powell will deliver speeches today. Hawkish speeches would test buyer appetite.
However, US debt ceiling-related news will likely remain the focal point.
Beyond the US economic calendar, investors should continue to track SEC v Ripple updates and Binance and Coinbase (COIN)-related news.
XRP Price Action
At the time of writing, XRP was up 0.36% to $0.46145. A mixed start to the day saw XRP rise to an early high of $0.46362 before falling to a low of $0.45779,
Resistance & Support Levels
|R1 – $||0.4737||S1 – $||0.4445|
|R2 – $||0.4875||S2 – $||0.4293|
|R3 – $||0.5166||S3 – $||0.4002|
XRP needs to avoid the $0.4584 pivot to target the First Major Resistance Level (R1) at $0.4737 and resistance at $0.48. A move through the Thursday high of $0.47227 would signal a bullish session. However, SEC v Ripple updates and Fed chatter must support a breakout session.
In the case of an extended rally, XRP would likely test the Second Major Resistance Level (R2) at $0.4875 and resistance at $0.50. The Third Major Resistance Level (R3) sits at $0.5166. Further Court rulings in favor of Ripple would break down the resistance levels.
A fall through the pivot would bring the First Major Support Level (S1) at $0.4445 into play. However, barring a crypto event or risk-off-fueled sell-off, XRP should avoid sub-$0.44 and the Second Major Support Level (S2) at $0.4293. The Third Major Support Level (S3) sits at $0.4002.
The EMAs and the 4-hourly candlestick chart (below) sent more bullish signals.
At the time of writing, XRP sat above the 200-day EMA, currently at $0.45283. The 50-day EMA closed in on the 100-day EMA, with the 100-day EMA narrowing to the 200-day EMA. The EMAs delivered more bullish signals.
A hold above the 200-day EMA ($0.45283) would support a breakout from R1 ($0.4737) to give the bulls a run at R2 ($0.4875) and $0.50. However, a fall through the 200-day EMA ($0.45283) would bring S1 ($0.4445) and the 100-day ($0.44364) and 50-day ($0.43995) EMAs into view. A fall through the 50-day EMA would send a bearish signal.