Ripple is gearing up to submit a response to the SEC’s demand for a $2 billion penalty, and XRP has surpassed the $0.50 mark it struggled with in the previous week. There is great anticipation surrounding how Ripple will address the SEC’s penalty claim.
Ripple’s response to the SEC is expected to have a significant impact on the future of XRP. XRP owners are closely monitoring the legal battle between Ripple and the SEC, as it directly affects the price of the cryptocurrency. The opposition summary presented by Ripple will shape market players’ expectations.
Ripple CEO Brad Garlinghouse remains optimistic about the company’s expansion plans and the utility of XRP, but uncertainties loom over the potential impact of the SEC case on Ripple’s future.
After a period of consolidation, XRP has successfully surpassed the $0.50 resistance level. The altcoin has gained 25% in value since its lowest point on April 13 and is on a path to recovery. The next major resistance levels to watch out for are $0.60 and the levels from April 9.
The Fisher Transformation Indicator confirms the reversal of the uptrend in XRP. This technical indicator identifies turning points in asset prices and signals a potential reversal. Investors are advised to take advantage of this opportunity to purchase XRP.
The Average Direction Index (ADX), a commonly used indicator to gauge trend strength and direction, is at 25.76, indicating a strong trend in XRP’s recovery. Both the Fisher Transformation Indicator and the ADX support the thesis of a reversal in the uptrend.
However, if XRP’s daily candlestick closes below the $0.50 level, it could invalidate the bullish thesis. In such a case, XRP may find support at its lowest level on April 13 or at a significant support level on the weekly price chart since March 2023, which is at $0.4117.
Disclaimer: This article does not provide investment advice. Investors should be aware of the high volatility and risk associated with cryptocurrencies and conduct their own research.
