- The XRP price has recently broken above a long-term downtrend line.
- The breakthrough might be nullified by a reverse below the 50-day SMA.
Analysis of the daily chart implies that the XRP price may soon reach a turning point. On July 14, the XRP price began its ascent. Since the XRP price peaked at $0.854 on July 19, there has been an increase in profit-taking. The price could not continue the rally further and it fell to a demand zone, particularly around $0.69. It made a failed attempt to break above the recent peak and retested the recent support of around $0.69.
Source: CoinMarketCap
Santiment, an on-chain analytics firm, said at the beginning of the week that with the XRP price above $0.70, there were more than 100 million XRP whale wallets. Since May 13, the number of XRP “whale wallets,” or wallets holding more than 100 million coins (worth at least $74 million), has increased to 199, as reported by the analytics firm.
Short-term Bullish Momentum
Moreover, the XRP price has recently broken above a long-term downtrend line, and this upward price movement has been accompanied by above-average trading activity. Price may challenge $0.75 on short-term bullish momentum, while the 200-day simple moving average and a horizontal trendline provide resistance.
If the 200-day SMA is decisively broken above, a further significant rally to the high of last week, at $0.84, is possible. The breakthrough might be nullified by a reverse below the 50-day simple moving average, which could lead to a decline to Tuesday’s low of around $0.6770.
On the other hand, Ripple’s senior legal officer dismissed concerns that the United States SEC would appeal the historic Ripple judgment earlier this month. If the SEC decides to appeal, Stuart Alderoty thinks the court will seek to further cement Ripple Labs’ partial success against the regulatory body.
