Regulatoryly, Ripple Labs scored two victories.
The price of #XRP has rebounded from a key support.
The $1 goal might be met shortly, but more evidence is required before declaring success.
Once an early appeal request was denied by Judge Analisa Torres, the tide turned in Ripple's legal battle with the SEC. When the SEC asked for an early appeal, the judge denied their request, giving a major setback to their efforts to overturn parts of her prior order.
The judge's ruling hinged on the specifics of XRP transactions made by Ripple. Different profit expectations were identified between programmatic purchasers and institutional buyers, hence only sales to institutions were considered securities transactions.
Ripple Labs has a 2-0 victory.
Ripple Labs, Inc. scored a major triumph in a different legal development when it was granted full authority by the Monetary Authority of Singapore (MAS) to operate as a supplier of digital payment token services. Ripple's position in the cryptocurrency industry is bolstered by this formal permission, and the company's Asia Pacific affiliate, Ripple Markets APAC Pte Ltd, may now expand its sphere of influence throughout the region.
The crypto community is keenly monitoring this rise in XRP's price to see what effect it has on Ripple and the market as a whole. At this time, Ripple's XRP cryptocurrency is up 4% and trading at $0.53. This is a weekly increase of 6.77% and a monthly increase of 5.05%.
A 50% increase would get it to the magic $1 mark, so maybe this is the beginning of that.
A Look at the Ripple in Costs
A prolonged bear market for XRP began when it hit a record high of $3.50 on January 4, 2021. The price dropped substantially to $0.10 by March 13, 2020. A succeeding bullish wave attempted to break the record, but its high point was just slightly higher than $2 on April 15th, 2021.
The last bullish cycle for XRP ended at its top in April. Its worth thereafter plummeted, reaching a low of $0.285 on June 18th, 2022. The price increased little from there, peaking at $0.92 on June 14 of this year. By September 11 however, XRP's price had dropped to $0.46, a drop of 50% from its annual high.
A symmetrical triangular pattern develops when examining these price changes, suggesting a possible WXYXZ correction. Both the all-time high and the low from March 13, 2020 are used to establish the pattern's resistance and support, respectively. This support trendline coincides with the price drop on September 11 and has so far kept the price inside its confines. The token then rose by 18.5%, to where it is now trading at $0.54.
This recovery on September 11 may mark a turning point, with the rising support level (wave Z) having the ability to launch $XRP onto a persistent bullish trajectory. To achieve such a rise, the downward resistance must be broken, which might take many years and lead to new record highs.
No Signs of Bullishness
Yet, the existing cost structure isn't congruent with such an upbeat forecast. Due to the lack of bullish action, a stronger rebound is required before a positive posture can be adopted. There is still a chance of further declines before then.
If you look at the 4-hour chart closely, you can see that there was a rebound, although it was minor compared to the prior drop. There is currently not enough evidence to conclude that this rebound marks the beginning of a strong rise.
A bigger jump is needed to change to a positive perspective. Particularly, a breakthrough above the declining trendline and the formation of a new yearly high would be required to reach the $1 goal. While this result is still theoretically possible, it is not supported by the available statistics.