Ripple’s XRP Eyes $1 as Monthly Chart Reveals Bullish Signs

Despite Bitcoin ETF euphoria, XRP slumps but technicals hint at a possible price reversal in the coming months.

XRP cowboy chasing a herd of bulls through a desert.
Created by Gabor Kovacs from DailyCoin
  • XRP’s recent consolidation has hinted at a bullish pattern, and monthly technicals have suggested upward momentum.
  • Reclaiming $0.50 has been crucial for a sustained rally, with the potential to climb to $0.90 or even $1.
  • Resolution of the SEC’s lawsuit and the Bitcoin halving have the potential to fuel further growth.

While Bitcoin’s long-awaited spot ETF approval sparked temporary joy in the crypto market, XRP has remained mired in a price slump. Despite these challenges, some technical analysis has shown signs that a reversal could be on the horizon. 

Double Whammy Hits XRP

The digital asset experienced a sell-off following the approval of a spot Bitcoin ETF, falling below the key support level of $0.55. Additionally, a hacking incident involving Ripple co-founder Chris Larsen resulted in a significant XRP theft, further dampening sentiment. The current price of XRP, at the time of writing, is $0.5115.

However, amidst the negativity, some indicators suggest a potential turnaround for XRP. The token has been consolidating between $0.52 and $0.46, and technical analysis reveals a potentially bullish Elliott Wave pattern developing. This pattern points towards a possible bullish wave.

XRP Monthly Chart displaying an Elliott Wave pattern.
XRP Monthly Chart displaying an Elliott Wave pattern. Source: TradingView

Further adding to the optimistic outlook is a MACD bullish crossover on the daily timeframe, a technical indicator often associated with upward momentum.

XRP MACD Chart displaying the onset of a bullish crossover.
XRP MACD Chart displaying the onset of a bullish crossover. Source: TradingView

However, it’s important to note that if it gets lost again, reclaiming the psychological barrier of $0.50 would be crucial for a sustained bullish reversal. If bulls can maintain the price above this level, XRP could see an ascent towards $0.90, with further upside as high as $1.

Macro Events Shaping XRP’s Future

Looking beyond technical indicators, events in the broader crypto landscape could also provide tailwinds for XRP. The much-anticipated resolution of the SEC lawsuit against Ripple and the upcoming Bitcoin halving are both viewed as potential catalysts for a rise in the price of XRP.

So, while XRP battles current headwinds, technical indicators, and future events offer a glimmer of hope for a price ascent in the coming months. However, investors should remain cautious and closely monitor the market dynamics before making investment decisions.

On the Flipside

  • While the Elliott Wave pattern and MACD crossover suggest potential bullishness, these indicators do not guarantee future price movements.
  • The ongoing legal battle between Ripple and the SEC is a major overhang on the XRP price. A negative outcome could lead to further sell-offs, regardless of technical signals.

Why This Matters

Upcoming events like the SEC lawsuit resolution and Bitcoin halving could act as catalysts, making XRP an attractive option for investors seeking long-term gains. However, caution is advised as XRP still faces challenges, and holding on to the $0.50 mark is crucial for sustained bullish momentum.

If you’re wondering how the SEC vs Ripple lawsuit could impact XRP, this article dives into the potential outcomes for the cryptocurrency industry:
SEC vs Ripple Case Nears Remedies Phase: How it Impacts XRP

Curious about how the XRP Ledger’s new changes allow users to earn passive income? This article explores the amendment process, potential risks, and future implications:
Why XRP Ledger’s AMM Changes Are a Big Deal

This article is for information purposes only and should not be considered trading or investment advice. Nothing herein shall be construed as financial, legal, or tax advice. Trading forex, cryptocurrencies, and CFDs pose a considerable risk of loss.

Author
Kyle Calvert

Kyle Calvert is a cryptocurrency news reporter for DailyCoin, specializing in Ripple, stablecoins, as well as price and market analysis news. Before his current role, Kyle worked as a student researcher in the cryptocurrency industry, gaining an understanding of how digital currencies work, their potential uses, and their impact on the economy and society. He completed his Masters and Honors degrees in Blockchain Technology within Esports and Business and Event management within Esports at Staffordshire University.