XRP (XRP) is flashing a potential 20% upside setup as bullish chart structure aligns with fresh optimism around U.S. crypto regulation.
XRP is compressing inside a rising wedge on the four-hour chart after rebounding from its early-February low near $1.12.
At the same time, the price has risen above its 20-4H (the green wave) and 50-4H (the red wave) exponential moving averages (EMAs). That increases its odds of rising toward the wedge’s upper trendline near $1.77, a level aligning with its 0.5 Fibonacci retracement line.
Imminent resistance levels that could keep XRP from hitting the wedge’s upper boundary include the 200-4H EMA (the blue wave) and the 0.382 Fib line at around $1.61.
Stay under these levels, while dipping below the 20-4H and 50-4H EMAs will risk triggering the classic rising wedge breakdown setup.
In other words, a breakdown below the wedge’s lower boundary near $1.46 could send prices toward $1.18, a level down roughly 20% from current prices.
Technical strength is emerging, with President Donald Trump saying a major U.S. crypto market structure bill is close to passing.
📢BREAKING : 🇺🇸 President Trump says the #Crypto #Market Structure Bill is set to move forward soon.
Big developments ahead for the $crypto space. pic.twitter.com/1yn2giFXRL
— SmartViewAI.Com (@smartviewai) February 17, 2026
The legislation aims to clarify how digital assets are regulated by dividing oversight between the Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC).
Under the proposal, the CFTC would regulate digital commodities such as Bitcoin (BTC) and Ether (ETH), while the SEC would oversee tokens classified as securities.
The House has already advanced its version, and Senate committees have moved related proposals forward. Differences between drafts remain, but Trump’s comments suggest lawmakers may be nearing an agreement.
A positive update on the market structure bill could be the catalyst that keeps XRP grinding higher along the wedge. That keeps the rebound path alive, with $1.77–$1.81 only coming into view if the move later turns into a clean breakout.
Yashu Gola is a crypto journalist and analyst with expertise in digital assets, blockchain, and macroeconomics. He provides in-depth market analysis, technical chart patterns, and insights on global economic impacts. His work bridges traditional finance and crypto, offering actionable advice and educational content. Passionate about blockchain's role in finance, he studies behavioral finance to predict memecoin trends.