XRP Price Plummets as Judge Torres Denies Ripple SEC Motion: What’s Next?
XRP Faces Downward Pressure Following SEC Settlement Denial
XRP’s value has begun to decline sharply after Judge Torres rejected the SEC’s recent motion aimed at finalizing a settlement with Ripple Labs. This ruling represents a significant legal hurdle for Ripple, leading to a wave of negative sentiment among traders and investors, which raises concerns about a potential further decline in XRP’s price.
Many market participants had already braced for uncertainty, as XRP had shown signs of price consolidation earlier this week. The emergence of this negative news has triggered a strong bearish reaction, resulting in a sell-off that has begun to unfold today.
As fear spreads among investors, some are experiencing a FOMO-like reaction. Given the current market dynamics, the question arises: will XRP rebound this week, or are we on the brink of a deeper decline toward lower support levels?
XRP Price Experiences Significant Bearish Shift
The bullish momentum for XRP has waned, leading to a breakdown of its flag pattern today, which indicates a notable increase in selling pressure. This flag pattern had been established around June 22 and persisted until the late hours of trading in Asia today.
Recent trading volume has shown heightened volatility, with the histogram reflecting a sharp increase following a period of price consolidation between June 13 and June 22. This suggests a growing intensity in both buying and selling activities surrounding XRP.
The Stochastic RSI, a vital tool for assessing market sentiment, indicates that both averages have dipped below the oversold threshold of 20 on the 4-hour chart. This development points to an uptick in selling pressure for XRP within the broader cryptocurrency market.
Conversely, the Moving Average Convergence Divergence (MACD) is displaying a rising red histogram, with the 12-day and 26-day averages converging bearishly. Given the current market landscape, XRP’s price may test its lower support levels before any potential bullish recovery takes place.
What Are the Potential Price Levels for XRP?
If bearish momentum continues, XRP may soon revisit its critical support level at $2.08. Should negative sentiment escalate, the token could drop to its lower support level of $2 in the near term.
In a worst-case scenario, XRP might breach the $2 support and plummet to a crucial low of $1.91.
On the flip side, if a bullish reversal occurs, XRP could aim to retest its immediate resistance level at $2.15. A sustained bullish trend might propel the price toward an upper resistance level of $2.23 within the week.
Also Read: BREAKING: Judge Torres Rejects Ripple SEC Motion for Indicative Ruling
