- The Ripple price had three straight bearish sessions before the buyers stormed back in.
- The 4-hour chart shows increasing bullish market momentum.
- The parabolic SAR has flipped from negative to positive.
- The MACD shows increasing bullish market momentum.
- The 20-bar and 50-bar SMAs have reversed from resistance to support.
This Wednesday, the buyers took control of the Ripple price having bounced up from the 20-day SMA ($1.39). However, this upward surge has been blocked by the $0.165 resistance barrier. Prior to this surge, XRP had three straight bearish sessions between May 2 and May 4, when the Ripple price once again failed at the $1.65 resistance barrier and dropped to $1.39.
Ripple Price Volatility Increasing
It seems like the $1.65 resistance barrier has blocked the Ripple price yet again. The Bollinger band has started expanding, which shows increasing volatility. The relative strength index (RSI) still has room to creep into the overbought zone, so it tells us that XRP may grow some more.
Image: XRP/USD daily
In the 4-hour Ripple price chart, the last two sessions have cancelled each other out. Despite this, XRP has also flashed multiple positive signals in this timeframe:
Image: XRP/USD 4-hour
Ripple Accumulation High in 2021
As per the Ripple Q1 2021 report:
“Data indicates that Q1 2021 was a quarter of XRP accumulation. The number of “whale” wallets, defined as wallets with balances of at least 10M XRP, increased from 308 to 319. Similarly, the number of wallets holding between 1M and 10M XRP increased from 1,125 to 1,196.”
XRPL Wallets On The Rise
“Last quarter, the number of active XRPL wallets increased as on-ledger activity grew. In Q1, total on-ledger payment volume was $62.3B, representing a 23% increase quarter-on-quarter, while the number of total on-ledger wallet addresses increased 15% from 2.35M to 2.70M.”
Ripple Says SEC Lawsuit Should Allow XRP Investor Participation
Ripple has recently filed a motion accusing the US Securities and Exchange Commission (SEC) of acting against investor interest, contrasting its purpose to protect investors.
The SEC filed a lawsuit against Ripple in December of 2020, alleging the fintech startup sold XRP unregistered securities. Ripple’s lawyers have filed a motion seconding numerous XRP holders who attempted to intervene in the case by arguing that the SEC caused XRP to lose billions of dollars in value. Ripple’s lawyers argued that the investors should be allowed to participate in the lawsuit to an extent.
Defendants support the named Movants’ participation in the case. Although Defendants oppose Movants’ motion to intervene to represent a putative class, the Court should permit them to participate as amici with elevated rights or as intervenors with limited rights.
The motion also blamed the SEC for massive losses.
Merely by alleging its novel theory, the SEC imposed billions of dollars in immediate losses on third-party XRP holders, dried up XRP liquidity in the United States, and chilled third parties from continuing to develop applications for XRP.
The 21-page motion emphasized that XRP holders “are innocent retail holders with no connection to Ripple who have already felt consequences from the SEC’s ill-advised jurisdictional overreach. Their desire to be heard is understandable and legitimate.”
The motion also accused the regulator of blatant disregard of the interests for whom the organization’s purpose is to protect.
Ripple Price Is Expected To Reach These Levels
If the Ripple price manages to break past the $1.65 resistance barrier it will be able to approach the $1.85 resistance line. However, failure to do so will take XRP down to the 20-day SMA ($1.40).