XRP Price Prediction: A Return to $0.33 in the Hands of US Inflation

Key Insights:

• XRP was on the move this morning, reversing a 1.14% loss from Tuesday.
• Investor angst over US inflation and Fed monetary policy overshadowed the latest ruling in the SEC v Ripple case.
• Technical indicators are bearish, with XRP sitting below the 50-day EMA.

On Tuesday, XRP fell by 1.14%. Following a 3.17% decline on Monday, XRP ended the day at $0.3112.

The bearish Tuesday session marked a third consecutive day in the red, with the NASDAQ weighing on XRP.

This morning, however, riskier assets found support, with the NASDAQ 100 Mini up 48.75 points ahead of the US open.

Direction through the second half of the day will hinge on market reaction to US inflation figures for June.

XRP Trails the Crypto Top Ten Despite Favorable Hinman Ruling

This morning, XRP trailed the broader crypto top ten. Ethereum (ETH) and Solana (SOL) led the way, with gains of 4.12% and 3.77%, respectively.

XRP trailed despite the US courts denying an SEC motion to protect William Hinman -related speech documents under the attorney-client privilege.

This year, the SEC v Ripple has drawn plenty of market interest as the SEC looks to stamp its authority on the digital asset space.

The latest court ruling will be a blow for SEC Chair Gary Gensler and the SEC, which is battling it out with the Commodity Futures Trading Commission (CFTC) to take the responsibility to regulate cryptos and the broader digital asset space.

XRP showed a relatively muted response to the latest ruling. Investor angst over inflation and Fed monetary policy has weighed.

The US inflation figures, due shortly, will therefore be the key for XRP today and the broader market.

Economists have projected the US annual rate of inflation to pick up from 8.6% to 8.8% in June. In line with or higher numbers will test appetite for cryptos.

XRP Price Action

At the time of writing, XRP was up 1.80% to $0.3168.

A choppy start to the day saw XRP fall to an early low of $0.3067 before making a move.

Finding support at the First Major Support Level at $0.3064, XRP jumped to a high of $0.3209.

The morning rally saw XRP break through the First Major Resistance Level at $0.3168.

Technical Indicators

A hold above the First Major Resistance Level at $0.3168 (R1) and the $0.3121 pivot would support another run at the Second Major Resistance Level (R2) at $0.3225.

XRP would need softer than projected US inflation figures to support a breakout from the morning high of $0.3209.

In the case of an extended crypto rally, XRP could target resistance at $0.33 and the Third Major Resistance Level (R3) at $0.3329.

A fall through R1 and the pivot would bring the First Major Support Level (S1) at $0.3064 back into play.

In the event of an extended sell-off, XRP would likely test the Second Major Support Level (S2) at $0.3017 and support at $0.30.

The Third Major Support Level (S3) sits at $0.2913.

Despite the upside, the EMAs and the 4-hourly candlestick chart (below) send a bearish signal.

At the time of writing, XRP sat below the 50-day EMA, currently at $0.3258. Today, the 50-day EMA started flattening on the 100-day EMA. The 100-day EMA slipped back from the 200-day EMA, XRP price negative.

A narrowing of the 50-day EMA to the 100-day EMA would support an R2 breakout to target the 100-day EMA, currently at $0.3300, and R3.

However, a further pullback of the 50-day EMA from the 100-day EMA would bring the Major Support Levels into play.