XRP price on Wednesday crossed above the $3 mark for the first time since 2018 and has risen by 23% in the last three days. The coin has gone against the grain with a steady ascent despite the Securities and Exchange Commission’s (SEC) move to file its opening brief in its appeal case against XRP issuer, Ripple Labs.
Among other things, the SEC wants the court to overturn an earlier ruling by Judge Anerlisa Torres by finding that XRP coins sold to retail investors were unregistered securities. Judge Torres had earlier found that only coins sold to institutional investors qualified as unregistered securities.
Ripple Labs is expected to file its responses in the coming days and has also counter-appealed against Judge Torres’ $125 million fine. Meanwhile, the impending changes at the SEC could bring a new dimension to the case, with the exit of Chairman Gary Gensler on January 20th set to usher in a friendlier era of crypto regulation.
Also, Ripple’s RLUSD stablecoin has brought a new utility for XRP and adds credence to the upside view. The more significant news could come in the coming weeks or months if spot XRP ETF is approved.
The momentum on XRP price is likely to stay on the upside trajectory, as its 24-hour traded volume was up by 5.8% at the time of writing. The coin’s Average Directional Index (ADX) reading on the four-hour chart is at 42, signaling a strong uptrend. Also, the value of open interest rose significantly in the 24 hours preceding this writing.
According to Coinanalyze, perpetual contracts were up by 5.7%, while futures contracts were up by 4%. That shows strong investor confidence in the coin’s performance, which could add propulsion to XRP price.
XRP Price Prediction
XRP price pivot is at $3.20 and the upside will continue if the coin stays above that level. It will likely meet the first resistance at $3.39, but a stronger momentum will break above that level and potentially rise to new record highs of $3.50.
Conversely, a move below $3.20 will favour the sellers to take control. The first support will likely come at $3.05. The upside narrative will be invalid if the price breaks below that level. Meanwhile, an extended control by the sellers could potentially take XRP lower to test $2.86.
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