The value of XRP continues to trade in tandem with the broader cryptocurrency market, but the digital asset stands out as a focal point due to ongoing developments surrounding the Securities and Exchange Commission’s (SEC) case against Ripple.
While the legal proceedings have partly catalyzed previous rallies in XRP, analysts are now focusing on the token’s historical correlation with Bitcoin (BTC), deeming it a noteworthy factor to monitor for a potential breakout.
Particularly, crypto analyst Cryptoinsightuk, in an X (formerly Twitter) post on November 10, pointed to a compelling narrative for XRP’s potential breakthrough, drawing attention to its historical lag behind Bitcoin price action.
According to Cryptoinsightuk, there’s a discernible pattern where XRP breakouts gradually align with the maiden cryptocurrency’s movements.
The analysis highlights two key instances: the initial breakout, which took 22 days, and the subsequent pump, which condensed the timeline to 13 days. Extrapolating this trend suggests a prospective breakout date of November 15, a date likely to act as a turning point for XRP.
Adding another layer to the analysis, the four-hour timeframe reveals that XRP has had the opportunity to cool off, prompting questions about whether a reversal to the upside is imminent.
SEC vs. Ripple
Despite the exhilarating prospects painted by the technical analysis, there is lingering caution. The regulatory overhang, particularly the impending close of the SEC and blockchain company case.
Notably, after Ripple’s court victory against the SEC, where Judge Analisa Torres ruled that retail XRP sales weren’t securities sales, both parties submitted to her an agreed-upon 90-day schedule for settlement discussions.
As reported by Finbold, Ripple consented to the SEC’s proposed timeline for remedies-related discovery, with the condition that it is confined to the period preceding the lawsuit.
The regulator suggested 90 days for remedies-related discovery, beginning with the court’s scheduling order. The SEC aims to introduce post-complaint evidence for injunctive and monetary claims, but Ripple retains the right to oppose. If allowed, Ripple would need court permission to extend the discovery deadline.
Following the conclusion of the court case, the outstanding issue revolves around determining the damages Ripple must pay, as the judge ruled that XRP sales to institutional investors, unlike retail buyers, constituted securities sales.
XRP price analysis
XRP was valued at $0.66 by press time, reflecting daily gains of over 1%. On the weekly chart, XRP shows an impressive increase of nearly 7%.
In terms of technical analysis, bullish sentiments dominate XRP. One-day indicators from TradingView suggest a ‘buy’ sentiment at 15, with moving averages signaling a ‘strong buy’ at 13. Oscillators are neutral at 8.
Meanwhile, XRP is on a bullish trajectory, aiming for the $1 mark, the main resistant point.
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