As the Asian market began its week, Ripple-backed digital asset XRP found itself grappling with short-term bearish sentiment. The weekend’s passage and the opening of the Asian market on Monday saw XRP trading around 63 cents. This marked a continuation of its recent price trend.
Notably, the XRP price concluded the previous week with a Doji candlestick pattern, a signifier of market uncertainty.
Is the SEC Dampening the Bullish Spirit?
The bullish sentiment that had been building appears to have taken a hit due to recent events. The United States Securities and Exchange Commission (SEC) has lodged an appeal following a ruling made last month by Judge Analisa Torres. This appeal has played a pivotal role in diminishing the previously vibrant enthusiasm among XRP investors.
XRP Price Action
Apart from Bitcoin, XRP stands out as the sole digital asset that has received clear regulatory approvals in the United States. This distinctive position has led Cheeky Crypto’s crypto analyst, Nick, to speculate on the potential emergence of an XRP Exchange-Traded Fund (ETF). An XRP ETF could be on the horizon, according to Nick. Furthermore, XRP has been consistently outperforming the Ethereum network in terms of daily transactions.
Read More: XRP Is Not a Security, Even If Sold to Institutional Investors: Ripple CTO
Additionally, it has witnessed increased adoption by large-scale investors known as whales. The anticipated approval of an XRP ETF might prove to be a catalyst for a substantial bullish upswing, potentially surpassing the previous all-time high (ATH) value.
On a daily timeframe, the analytical perspective suggests that the XRP price might be on the brink of a bullish resurgence, potentially heading towards the 70 cents mark. After a significant breakout observed last month, Cheeky Crypto’s analyst anticipated an ABC correction, driving the price to the supply zone around 54 cents.
Despite this, the analyst also posited that the bears might exert further pressure, potentially targeting the subsequent support zone of approximately 48 cents.
What Lies Ahead?
Nick’s analysis extends to the weekly timeframe, where he predicts a range for XRP’s future trading value. He suggests that during the upcoming major crypto bull market, XRP’s price could oscillate between $5.4 and $11. This prediction also comes with a dose of realism.
Related: Ripple News: XRP Price Forms Golden Cross: Is ATH on Cards?
Nick cautions traders against expecting XRP’s price to soar excessively, like reaching $589 or $10k, during the next major crypto bull rally. This caution stems from an understanding of diminishing returns within the market dynamics.
