In a recent chart examination posted on X, cryptocurrency expert Dark Defender offered perspectives on possible price fluctuations for XRP prior to the upcoming Ripple-SEC case decision. Conducted over a monthly time span, this analysis indicates that XRP has remained above a significant support line denoted by the blue marking. Amidst growing interest in the impending Ripple court documents due next week, there’s a sense of excitement and apprehension within the crypto community.
XRP Price Enters Potentially Crucial Week
The Dark Defender points out that while market news usually doesn’t directly influence price changes, the resolution of the Ripple case might bring additional excitement to XRP‘s market outlook. A relevant question arises: What transpires if XRP cannot sustain its level above the blue support line?
Based on the study, if XRP falls beneath the blue horizontal line of support, it may trend towards two significant Fibonacci retracement levels: $0.4623 (representing a 38.2% price drop) and $0.3917 (indicating a 23.6% price decrease). These values are derived from the highest and lowest points on the chart, which are commonly viewed as potential anchors where the price could potentially regain strength or rebound.
If the price of XRP falls below the current levels, specifically if it closes under $0.3917 for two to three days in a row on the chart, then the bullish five-wave pattern proposed by Dark Defender may no longer be valid. This could potentially prevent XRP from reaching a high of $5.85. Conversely, should XRP rise back above the 61.8% Fibonacci level at $0.6044, this could indicate the start of a robust uptrend.
Within the price range of $0.3917 to $0.6649, small price fluctuations are classified as a sideways trend. If XRP breaks above the 70.2% mark at $0.6649, it may signal a bullish trend, with analysts viewing this point as an essential milestone for a favorable price direction. Beyond this level, potential targets include the 161.8% extension at $1.8815 and the ambitious goal of $5.8563 (261.8% extension).
The graph indicates a “primary resistance line” which has prevented the price from rising since its peak in early 2018. Currently, the price is sandwiched between this declining resistance and an upward support trendline, creating a narrowing shape that traders often view as a possible sign of an impending price breakout.
A breakout might signal the beginning of a bigger upward trend, as evidenced by at least one monthly closing price above the resistance level. Previously, some efforts to breach this level have been unsuccessful, and even when a monthly close was achieved, the price often retreated below the trendline in the subsequent month.
Ripple Vs. SEC: What To Expect This Week
Ripple Labs is preparing to submit their response to the US Securities and Exchange Commission (SEC) regarding the proposed remedies on April 22. This is a significant step in their ongoing legal dispute. In response to the SEC’s brief outlining possible penalties such as forfeiting profits earned from XRP sales and imposing civil fines, Ripple will file its retort. The potential financial consequences are substantial, with the SEC estimating fines that could amount to approximately $2 billion, alleging that Ripple participated in an unregistered securities offering through their XRP sales.
Ripple intends to strongly challenge the SEC’s accusations by questioning the need for the SEC to seek compensation for XRP buyers. They argue that no clear financial damage has been proven. Additionally, Ripple plans to use recent legal victories and regulatory advances to weaken the SEC’s stance.
Based on the plan, Ripple is supposed to hand in a publicly accessible redacted form of its opposition paperwork, including declarations and evidence, today, as long as they don’t contain any information that the SEC has marked as confidential. If keeping things confidential is an issue, Rippe will submit these documents under seal and share a redacted public version by April 24 instead. After this, the SEC will have a chance to respond, which they are expected to do under seal by May 6.
At press time, XRP traded at $0.53.
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2024-04-22 14:10