The Ripple price is relatively weak, bouncing back in the early Asian session.
There might be permabulls expecting XRP and related digital assets to be always on an upward trajectory.
However, markets don’t operate in straight lines.
Currently, XRP prices are pulling back from 2021 highs—as expected.
It is despite that Ripple is experiencing supporting tailwinds from a fundamental perspective.
According to Brian Armstrong of Coinbase, the court case is progressing well. Coinbase is among the few exchanges that suspended the trading of the XRP coin due to regulatory concerns.
Regulatory Compliance is Critical for the Success of a Crypto Project
It is the same concern that Kevin O’Leary, the superstar investor, thinks the crypto project should prioritize ensuring compliance.
He went on to say that being compliant is where the real capital is. Commenting in an interview with CNBC, he said:
“I have zero interest in investing in litigation against the SEC. That is a very bad idea. I have no interest in being a crypto cowboy and getting anybody unhappy with me because I have so many assets in the real world that I’ve invested in already that I have to be compliant.”
As an emerging asset class, reading from the same book as the regulator is clear for a smooth, hitch-free operation free from needless kinks that may disrupt the flow and slow down adoption.
Presently, though Ripple and XRP have steadied, potential clients are reluctant to adopt until after the ongoing case settles.
Ripple Price Analysis
XRPUSDT is trading within a bear breakout pattern, below the round number as per the development in the daily chart.
The failure of bulls to flow back and completely reverse losses of November 26 presents headwinds for optimistic bulls in the upcoming sessions.
Notably, XRP prices are still oscillating inside the November 26 bear bar, unmistakably with above-average high trading volumes signaling bear strength.
Therefore, as long as XRPUSDT prices trend inside the conspicuous bear candlestick and below $1, every high may offer entries for sellers targeting $0.85 in the short term.
The level flashes with the 61.8 Fibonacci retracement line of the Q3 2021 trade range and September 2021 lows.
Meanwhile, a strong recovery building on early today’s gains might see XRP rip higher towards $1.20 in resumption of the primary trend.
Technical charts courtesy of Trading View
Disclaimer: Opinions expressed are not investment advice. Do your research.
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