Ripple Price Freefall Aiming for $0.5 Despite ‘Crypto Mom’ Hester Pierce Championing Clear Regulations
- Ripple plummets under $0.7 as the bearish outlook aggravates.
- SEC Commissioner Hester Pierce believes in bringing clarity to crypto regulations, especially for XRP.
- XRP may extend the down leg to $0.5 according to the descending triangle formation.
Ripple price traded at $0.7 at the time of writing and after accruing 7.4% in losses over the last 24 hours. XRP is not the only crypto underwater at the moment, as the bearish wave swept across the market throughout the weekend session.
The cross-border token closed the under $0.8, and by extension, the descending triangle pattern on the four-hour chart. Massive sell orders were triggered, with bears becoming aggressive amid investor panic. The down leg stretched under $0.7 and may continue to $0.5 if May’s anchor at $0.65 fails to hold.
SEC Commissioner Hester Pierce hopes for clear crypto regulations
Hester Pierce, commonly known as ‘Crypto Mom,’ continues to fight for regulatory clarity for cryptocurrencies in the United States. While speaking in a recent interview with Bloomberg, Peirce called for 100% clarity in the regulation of the industry. She said in part:
“With respect to what we’re going to do at the SEC, I hope that we can provide clarity in a few areas.”
Regarding the ongoing lawsuit between Ripple and the SEC, Pierce said that XRP is not a security but was perhaps sold as a security. She believes that being precise in this matter is crucial to the future of the industry.
“It’s something that I’ve also again tried us to be a little more precise when we think about a crypt asset … as being a security what we’re doing is we’re saying it’s being sold as part of an investment contract [but] it doesn’t mean that the asset itself necessarily has to be a security, it means that it was being sold as a security.”
On the other hand, Ripple is dealing with the impact of a descending triangle. This chart pattern is highly bearish in technical analysis and usually depicts trend continuation. In other words, once it forms, the asset will likely continue with the preceding trend (mainly a downward trend).
XRP/USD four-hour chart
As shown by the various short-term technical indicators based on the four-hour chart, the technical outlook is massive bearish. The Relative Strength Index (RSI) cements the bearish narrative as it closes the gap to the oversold region.
Similarly, the MACD has a bearish outlook, as observed in the chart. If th3 technical picture fails to hold, we anticipate another drop toward the triangle target at $0.5.