- XRP rose 4.97% on Saturday, with the rise coming from a large-scale crypto rally.
- There has been no update on the SEC case against Ripple or any response from the SEC to the court’s decision on which Hinman documents to influence.
- Technical indicators are bullish with XRP trading above the 100-day EMA.
On Saturday, XRP rebounded 4.97%. After a 0.12% gain from Friday, XRP ended the day at $0.3505.
A bearish start to the day saw XRP fall to a low of $0.3314 before moving. Avoiding the first major support level at $0.3246, XRP hit a high of $0.3560.
XRP broke through the first major resistance level at $0.3458 to come within the range of the second major resistance level at $0.3577 before pulling back.
Despite the late pullback, XRP held onto the $0.35 handle for the first time since June 27.
SEC silence on Hinman ruling provided support
XRP tracked the broader market on Saturday, supported by a change in sentiment towards the Fed’s monetary policy.
Market jitters over a 100 basis point rate hike eased, with FOMC members talking about a 75 basis point rate hike before entering the Fed’s blackout period.
The benefit came despite the SEC’s silence on Tuesday’s court ruling denying the SEC’s motion to shield documents related to Hinman’s solicitor-client privilege speech.
Although there has been a lack of leverage, the SEC case against Ripple will likely remain key.
XRP Price Action
At the time of writing, XRP was down 0.66% at $0.3482.
A choppy start to the day saw XRP hit an early high of $0.3543 before falling to lows of $0.3475.
Avoiding the $0.3460 pivot would support a run of the first major resistance level (R1) at $0.3605.
XRP would need support from the broader market to break out of Saturday’s high of $0.3560.
In the event of an extended crypto rally, XRP could test the second major resistance level (R2) at $0.3706. The third major resistance level (R3) is located at $0.3952.
A drop through the pivot would bring into play the first major support level (S1) at $0.3359.
Barring an extended sell-off, XRP is likely to avoid the second major support level (S2) at $0.3214, with support at $0.33 likely to limit the downside.
The third major support level (S3) is located at $0.2968.
This morning, the EMAs and the 4-hour candlestick chart (below) sent a bullish signal.
At the time of writing, XRP was sitting above the 200-day EMA, currently at $0.3438. Today, the 50-day EMA has converged towards the 100-day EMA. The 100-day EMA narrowed to the 200-day EMA, price positive.
A bullish cross from the 50-day EMA to the 100-day EMA would support a breakout of R1 to put R2 into play.
However, a failed bullish cross would put into play below $0.34 and the major support levels.