XRP Price Forms Bullish Pattern – Time to Buy?
XRP continues to trade choppy amid the SEC vs. Ripple battle, but XRP price forms a bullish pattern, which may signal an upward movement.
In the midst of Ripple's $1.3 billion lawsuit against the SEC, a court has ordered the SEC to disclose internal correspondence concerning the regulatory status of Ethereum.
It's a win for Ripple, which is why XRP is trading slightly higher.
Judge Ordered the SEC to Turn Over Internal Emails
Late this week, Ripple won a procedural court ruling in its ongoing legal struggle with the Securities and Exchange Commission (SEC), which filed a lawsuit against the digital currency payments company in 2020 for the unauthorized sale of $1.3 billion worth of XRP.
A federal district court decided on Thursday that the SEC's repeated attempts to restrict Ripple from seeing internal SEC communications relevant to a major speech on the regulatory status of competitor cryptocurrency Ethereum were invalid.
The emails, according to Ripple, will strengthen its case and shed light on how the SEC has "chosen two winners" in the crypto market, Bitcoin and Ethereum while ignoring the others.
The judgment resulted in a 17.65% spike in the value of XRP in the hours after it to $0.5097. Supporters of Ripple saw the verdict as a big victory for the cryptocurrency industry at large in its fight against government regulation and not only for the company in its action against the SEC.
XRP Price and Tokenomics
The current XRP price is $0.4773, and the 24-hour trading volume is $2.1 billion. In the last 24 hours, XRP has dropped 1.23%.
CoinMarketCap now ranks #6 with a live market cap of $24 billion. It has a maximum quantity of 100 billion XRP coins and a circulating supply of 49.9 billion XRP coins.
XRP Price Forms Bullish Pattern
On the technical front, the formation of a bullish engulfing candlestick below $0.4980 indicates the possibility of a bullish trend continuation.
XRP, on the other hand, is struggling to cross above $0.4980, a resistance level extended by a downward trendline.
Technical indicators such as the RSI and MACD are above 50 and 0, respectively. Both indicators point to a bullish trend in XRP. In addition, the 50-day moving average is supporting XRP near $0.4700, indicating an upward trend.
On the upside, increased XRP demand could pierce the $0.4980 resistance and propel the price to $0.5205 or $0.5600.
Alternatively, near the $0.4435 level, the upward trendline of a symmetrical triangle pattern provides immediate support. Under this scenario, XRP could find support near $0.4179 or $0.3809.
Investors will keep an eye out for a symmetrical triangle pattern, the breakout of which will determine the direction of the XRP price. Furthermore, additional developments in the Ripple vs. SEC battle may drive volatility in the XRP/USD pair.
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