The XRP market is stirring, with analysts eyeing a potential price surge by the end of 2024. Three key factors are fueling this optimism: technical indicators hinting at a breakout, significant whale accumulation, and the nearing resolution of Ripple’s legal battle with the SEC.
Charting a Course for $1
On the technical front, XRP’s weekly chart is painting a bullish picture. A symmetrical triangle pattern, formed in early 2018, suggests a potential breakout. This would propel XRP towards its next major resistance level, around $1, a price point unseen since 2021. Overcoming the $0.86 hurdle, however, remains crucial. This resistance level has proven formidable in the past, most recently in July 2023.
Supporting this bullish outlook are the Relative Strength Index (RSI) and volume profile. The RSI is rebounding from the 50 level, indicating rising buying pressure. Additionally, the volume profile suggests increased trading activity, often a precursor to significant price movements.
Whales Accumulate, Anticipating Growth
Adding fuel to the fire is the recent buying spree by XRP whales. Onchain data from Santiment reveals that major investors, holding over 1 billion XRP tokens, have been steadily accumulating. This trend suggests that these whales believe in XRP’s future potential and are positioning themselves for price appreciation.
The SEC Cloud and a Potential Silver Lining
The long-drawn-out legal battle between Ripple and the SEC seems to be approaching its final act. While a 2023 ruling declared XRP not a security on exchanges, the case hinges on its classification for institutional investors. A rescheduled meeting between Ripple and the SEC on July 25th, 2024, has ignited speculation about a possible settlement.
A favorable settlement could significantly boost XRP’s price. Additionally, the potential green light for an XRP spot ETF could further fuel market interest and drive the price upwards. However, some legal experts remain cautious, with former SEC lawyer Marc Fagel expressing skepticism about a settlement.
Despite the lingering legal uncertainty, Ripple CEO Brad Garlinghouse remains optimistic about a resolution before summer’s end. With technical indicators flashing bullish signals, whales accumulating, and the SEC saga potentially nearing its conclusion, XRP’s path to a $1 price point by Q4 appears increasingly plausible.
