- XRP price is finding significant support at the 50 day simple moving average (SMA).
- If this support level continues, Ripple may rise to the next short-term resistance at $0.500.
- This cryptocurrency recently printed the highest daily volume for a bullish day since February 22nd.
XRP price is gradually following the breakout from the symmetrical triangle at $0.450. Not showing significant resistance until $0.644, which indicates that this cryptocurrency has more room to go up before any bounce.
XRP Price Resists Negative News
Ripple’s price has been relatively resilient given the ongoing lawsuit at the Securities and Exchange Commission and the new attempt by the regulatory agency to gain access to the personal bank records of the company’s executives. Adding to the risks is a class action previously filed by Moneygram investors over Ripple that failed to inform them of the risks inherent in their relationship.
Despite the comments from Coinbase and Binance, XRP built a rally from a symmetrical triangle on March 16 with a gain of 5.62%. It was the best daily performance since March 4, and was supported by the highest green candle volume since February 22.
Over the past two trading days, XRP has struggled to overcome the magnet effect of the 50-day simple moving average (SMA) near $0.465, and volume has diminished. However, the Ripple price continues to breakout, and the Relative Strength Index (RSI) has turned higher, confirming the bullish momentum.
If the new trend accelerates, it will spot an immediate challenge at $0.500, the price level that was resistance and support extending until the end of January. There is a price void after $0.500 which should free up the XRP price to advance quickly to $0.644.
Such an upward price represents a 40% profit from the breakout of the symmetrical triangle at $0.450.
XRP/USD daily chart
There is no doubt that Ripple’s ongoing legal troubles will affect the price of XRP as more news emerges, and a negative development could quickly derail the recent advance. Support will appear first at the February 23 low at $0.362 in case of a correction, followed by the February 2 low at $0.340.