The XRP price is high Crypto prices during the U.S. trading session on Tuesday. Unlike Bitcoin (BTC) and Ethereum (ETH), which suffered a setback of 2.6% and 4.5%, respectively, amid increasing market uncertainty, Ripple’s XRP is up 1.7% to $0.5973.
XRP price market drivers: Whales continue to buy, MVRV signals buy, lawsuit against Ripple and SEC
- XRP price is signaling a strong upside move above the $0.6 resistance as whales turn to the token and purchase over 50 million XRP. On-chain data from Santiment shows a steady growth in the number of tokens held in wallets between 1 million and 10 million. In addition, the number of whale transactions valued at over $1 million increased to 25 on August 26, suggesting a positive long-term outlook.
- The 2.445% increase in Market Realized Value (MVRV) on Santiment suggests that investors are holding XRP at a profit. This is a bullish indicator that suggests a possible upward move in the price. However, caution is advised as the value continues to rise as holders may decide to sell at a profit, which may lead to selling pressure and a correction.
- While the court issued the Securities and Exchange Commission’s (SEC) final ruling against Ripple, there is still uncertainty about the company and XRP Price whether the regulator will appeal. So far, the SEC has not revealed which direction it plans to take, notably Judge Analisa Torres has not issued a temporary restraining order against the sale of XRP to institutional investors.
- Still, Torres granted the SEC’s injunction and warned Ripple not to violate U.S. securities laws in the future. An appeal could throw XRP into chaos and cause a sell-off.
XRP price prediction: Target the inverted H&S pattern
XRP price is preparing for a major inverse head and shoulders (H&S) breakout. This 21.6% bullish thesis follows a minor correction from last week’s surge to $0.63. Bulls have taken on the 20-day exponential moving average (EMA) support at $0.5863.
The pattern formed when XRP price made three relative lows, with the middle low (the head) lower than the two outer ones (the shoulders). A neckline (dotted) connects the highs of the shoulders. Note that a breakout above the neckline signals a potential bullish reversal of 21.6% to $0.74. Traders can profit by entering long positions after the breakout with stop losses below the same neckline.
The bullish outlook for XRP will cease to exist if the 20-day support fails to hold, which would result in a further pullback towards the 20-day and 200-day EMAs.
Frequently Asked Questions (FAQs)
As data from Santiment shows, XRP has risen due to growing whale interest in the token.
XRP price is awaiting a bullish breakout from the inverse H&S pattern, which is likely to push it to $0.74.
Traders should pay attention to the support area of the 50-day and 200-day EMAs at $0.567 and $5487.
Johannes Isige
John is a seasoned crypto expert known for his in-depth analysis and accurate price predictions in the digital asset market. As the price prediction editor for market content at CoinGape Media, he is dedicated to providing valuable insights into price trends and market forecasts. With his extensive experience in the crypto space, John has honed his skills in understanding on-chain data analysis, non-fungible tokens (NFTs), decentralized finance (DeFi), centralized finance (CeFi), and the dynamic metaverse landscape. Through his persistent reporting, John keeps his audience informed and equipped to navigate the ever-changing crypto market.
Disclaimer: The content presented may contain the personal opinion of the author and is subject to market conditions. Conduct market research before investing in cryptocurrencies. The author or publication assumes no responsibility for your personal financial loss.
✓ Share: