XRP Bulls to Retarget $0.50 on Progress in the SEC v Ripple Case

Key Insights:

• On Wednesday, XRP rose by 1.75%, marking the fifth bullish session from six.
• XRP continued to find support from the broader crypto market, while a lack of SEC v Ripple case updates left XRP trailing the front runners.
• The technical indicators are bullish, with XRP sitting above the 100-day EMA, signaling a return to $0.50.

On Wednesday, XRP rose by 1.75%. Following a 1.74% gain on Tuesday, XRP ended the day at $0.46941. Notably, XRP rose for the fifth time in six sessions.

A bearish start to the day saw XRP fall to an early low of $0.45697. Steering clear of the First Major Support Level (S1) at $0.4457, XRP rallied to a mid-afternoon high of $0.47104. Falling short of the First Major Resistance Level (R1) at $0.4748, XRP fell back to end the day at sub-$0.47.

XRP found support from the broader crypto market, with expectations of a Fed pivot driving crypto demand. However, a lack of SEC v Ripple case updates left investors on a more cautious footing to leave XRP trailing the front runners on the day.

SEC Refrains from Objecting to File Amicus Brief Motions

On Wednesday, the SEC filed a letter to Judge Torres stating that the SEC takes no position on either Motion. The SEC referred to Investor Choice Advocates Network and SpendTheBits Motions to file Amicus briefs in support of the Defendants.

However, the SEC did request, in the event that the Court grants either motion, an opportunity to ‘respond to the Motions as part of its reply brief in support of the SEC’s motion for summary judgment on November 15.’

The SEC’s approach to the latest Motions to file Amicus briefs was in stark contrast to the objections to the I-Remit and TapJets Motions that had led to a curt response from the Defendants.

However, there were no other updates for investors to consider as the markets await a Court response to the SEC request for ‘in camera review proposed redactions to two drafts of Director Bill Hinman’s June 2018 speech that discuss pending determinations before the Commission.”

William Hinman remains a central figure in the SEC v Ripple case despite the SEC’s best efforts. In a famous 2018 speech, Division of Corporation Finance, William Hinman, said that Bitcoin (BTC) and Ethereum (ETH) are not securities.

XRP Price Action

At the time of writing, XRP was 1.17% to $0.47491. A mixed start to the day saw XRP fall to an early morning low of $0.46685 before rising to a high of $0.48214.

XRP broke through the First Major Resistance Level (R1) at $0.4746 and the Second Major Resistance Level (R2) at $0.4799 before easing back through R2.

Technical Indicators

XRP needs to hold above R1 and the $0.4658 pivot to take another run at the Second Major Resistance Level (R2) at $0.4799 and the morning high of $0.48214. Updates from the SEC v Ripple case and broader crypto market sentiment will continue to provide direction ahead of US economic indicators later in the day.

In the case of an extended rally, the bulls would take a run at the Third Major Resistance Level (R3) at $0.4939 and $0.50.

A fall through R1 and the pivot would bring the First Major Support Level (S1) at $0.4606 into play. However, barring an extended sell-off, XRP should avoid sub-$0.46 and the Second Major Support Level (S2) at $0.4517. The Third Major Support Level (S3) sits at $0.4377.

The EMAs and the 4-hourly candlestick chart (below) sent a bullish signal.

At the time of writing, XRP sat above the 100-day EMA, currently at $0.46682. The 50-day EMA pulled away from the 200-day EMA while narrowing on the 100-day EMA. The signals were bullish.

A hold above the 100-day EMA (E0.46682) would support a breakout from R1 ($0.4746) to retarget R2 ($0.4799) and the morning high of $0.48214. However, a fall through the 100-day EMA ($0.46682) would give the bears a run at the 50-day EMA ($0.46339) and S1 ($0.4606). The 200-day EMA sits at $0.45831.