- XRP price is looking primed for a move to flip the $1 resistance level into a support barrier.
- Former US treasury Rosie Rios says XRP is for ‘payments” as she vaguely supports China’s decision to ban Bitcoin since it is just a speculative asset.
- Ripple’s fight with the SEC continues as CEO Brad Garlinghouse signals that they are open for settlement.
XRP price failed to sustain its gains obtained on September 22, resulting in a retracement to a stable support floor. While an uptrend appears to be on its way, Ripple will encounter a psychological level acting as resistance.
Ripple vs. Bitcoin and payments vs. speculation
Ripple has been in a long-standing battle with the US Securities & Exchange Commission. While the conclusion of this lawsuit does not seem to be on the horizon, CEO Brad Garlinghouse floated the idea of settlement in a recent interview. He added that the SEC needs to define what XRP is on a “go-forward basis” for Ripple to consider a settlement.
On a similar note, Ripple board member Rosie Rios tweeted on Monday, differentiating the use-case between XRP and BTC. She used China’s decision to support her argument that the big crypto has no use-case apart from being a speculative instrument.
XRP’s primary purpose is facilitating cross border payments while other #Cryptos find their value in speculation. China’s latest move brings this point home.
While Rios’ tweet received some harsh criticism, she clarified her intentions the next day.
Want to clarify that IMO. While Ripple is committed to the cross-border use case, developers globally everyday are pursuing other use cases, including store of value, medium of exchange, etc for multiple blockchains/cryptos.
— Rosie Rios (@RosieRios) September 27, 2021
In a recent revelation, Ripple’s motion to get their hands on the trading history of SEC’s employees was denied.
XRP price eyes retest of $1
XRP price seems to have bottomed around $0.88 as it kick-starts an uptrend. This climb is mainly driven by the sudden bullishness after the crash due to China’s crackdown. Investors can expect Ripple to encounter the first hurdle at 50% Fibonacci retracement level at $0.966.
Clearing this blockade will open the path for a retest of the $1 psychological barrier.
While this ceiling was significant support from September as the price tested it nearly five times before the bears pushed through it on September 20, therefore, going forward, it will require a massive burst in buying pressure to shatter it.
Assuming the bulls slice through $1, there is a chance the rally will extend to $1.135 and $1.236. This ascent from the current position to $1.236 would constitute a 35% ascent.
XRP/USDT 6-hour chart
The buyers must push through the $1 barrier, and failing to do so will indicate a sign of weakness. Any surge in selling pressure could knock the remittance token down to the 62% Fibonacci retracement level at $0.856.
If this support floor is breached, it will create a lower low, invalidating the bullish thesis.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended Content
Editors’ Picks
Three altcoins that have kickstarted Q4 rally: LINK, RDNT, FLOKI
Chainlink price has been on a tear for the last two weeks and has the potential for more upside. Radiant Capital price has breached a falling wedge and shows promise of further ascent.
Week ahead: Fed speech and NFP likely to dictate crypto market moves this week
With the start of 2023’s fourth quarter, things are finally getting interesting in crypto. While the next 12 weeks are extremely important, let’s start by focusing on what to expect this week.
DOT confirms trend reversal, eyes retest of $5 after reclaiming key hurdle
Polkadot price trades inside a tight range above a critical support level of $3.98. The daily RSI produced a higher high, signaling a surge in bullish momentum and a potential breakout scenario.
FLOKI sets stage for 30% rally
Floki Inu (FLOKI) price has triggered a quick but explosive uptrend in the last 24 hours. The uptrend has pushed the meme coin above a key hurdle and could assist FLOKI bulls in reversing the downtrend.
Bitcoin: BTC recovery rally could be bull trap in disguise, here’s why
Bitcoin (BTC) price remains unfazed even after the multiple spot BTC ETF delays from the US Securities & Exchange Commission (SEC). But investors need to be careful with the ongoing BTC rally as it could be a trap for early bulls.