Ripple Holds Firm above $0.70, Rebounds from Critical Fibonacci Support Line

Ripple in a Bullish Formation, XRP Rose 90% in Q3 2022

There is a going on for Ripple and XRP. Technically, there is recovery which is good news for traders. After deep losses traced to early September 2021, XRP prices are moving horizontally even though bulls are not out of the woods—just yet.

There is a lot at stake for XRP. The coin’s medium-term performance depends on the ongoing court case pitting the blockchain company with the U.S. Securities and Exchange Commission (SEC).

Ripple Recorded Wins

Roughly one year ago, the primary regulator sued Ripple Labs and some of Ripple’s top brass for allegedly selling investment contracts to raise $1.3 billion. Ripple lawyers have gone on to register small wins. Out of these strings of encouraging successes, there were rumors that the case could settle as early as April 2022. However, new information trickling shows contradicting information.

Will the Case Settle in Q3 2022?

Attorney Jeremy Hogan of Ripple hinted of a possible settlement in Q3 2022 though factoring in how SEC operates; it could be hard to believe.

Historically, the SEC loves longer time frames. And in a high-profile court case with Ripple where the judge’s verdict could end up influencing the operation of the multi-trillion crypto industry, it may take longer.

The shorter the settlement date, the stronger Ripple and XRP become, massively damaging SEC. Already, they have been blasted for being ill-prepared for the case, allowing Bradley Garlinghouse and the rest to ooze out confidence, adamant that the regulator has no substantial case against them.

Ripple Price Analysis

Ripple price analysis

The XRP price is bearish, reading from the performance in the daily chart. Although there is hope considering the bounce back from crucial support in early January 2022, the path of least resistance remains southwards. In the short term, XRP bulls must absorb selling pressure and sustain prices above $0.70.

A close above the middle-BB—the dynamic resistance level—in a breakout above the current consolidation and $0.85 could thrust XRP prices towards $1 in a possible bull trend continuation set out in early Q3 2021. It will also be a booster for buyers of last week, allowing risk-off traders to ride the trend by loading the dips. On the reverse side, it could be tough for Ripple bulls if bears flow back, blasting below $0.85 and unwinding the bull engulfing pattern registered on January 11.

Technical charts courtesy of Trading View

Disclaimer: Opinions expressed are not investment advice. Do your research.

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