Ripple Technical Analysis: XRP Flashes Sell Signal
Daily Ripple XRP Price Analysis
- Over the last two days, the Ripple price regained the $0.45 support level.
- The MACD in the 4-hour chart shows sustained bullish momentum.
Since February 2, the Ripple price has jumped from $0.37 to $0.46, regaining the $0.45 support line in the process. Let’s see how the cross-border token is going to fare with technical analysis.
Ripple Price Gets Continually Rejected At This Level
After crashing from $0.49 to $0.37 on February 1, the Ripple price has steadily risen to the $0.46 level. Looking at the daily chart, we can see that XRP has tried repeatedly to cross over the 0.49 resistance barrier and failed.
Image: XRP/USD daily
If the Ripple price manages to cross over the $0.49 line, it should reach at least the $0.55 barrier. On the downside, there is a healthy support at $0.33, which sees a confluence of the 20-day, 50-day, and 200-day SMAs.
Image: XRP/USD 4-hour
Looking at the 4-hour Ripple price chart, we see that while the MACD shows sustained bullish momentum, there is still an air of pessimism around XRP. Ripple has flashed a green-nine candlestick in the TD indicator in this timeframe, which is a sell signal. As such, we may expect XRP to drop.
Top Crypto Lawyer: Ripple Will Settle With SEC
Popular crypto and blockchain lawyer Stephen Palley shared his thoughts on the US Securities and Exchange Commission’s (SEC) lawsuit against Ripple. He predicted that the payments firm will settle with the SEC.
Palley recently said that Ripple’s quick answer to SEC’s allegations shows that the payments startup wants to end the legal battle swiftly. He said:
Palley added that he believes that the SEC has already fully laid out its case at this early stage.
Typically in civil litigation, you don’t get the other side’s documents until the case has progressed for a while. Here, SEC has presumably gotten all of the documents during the enforcement action, which is why the original complaint is so compliant. In other words, SEC probably has all of the ‘bad’ documents, ‘smoking guns’ already, and has included them in the lawsuit.
The renowned blockchain lawyer also said that Ripple may have a tough time arguing that its sales of XRP should not be seen as an “offering.”
According to Palley, after the settlement happens, XRP trading will resume on exchanges in the US.
Ripple Price Is Expected To Reach These Levels
Ripple price will likely face a correction and drop to the 20-bar SMA ($0.44) or the 50-bar SMA ($0.42), both in the 4-hour chart.