XRP News: Coinbase Chatter and Net Inflows Offer Comfort

Key Insights:

• XRP rebounded by 1.39% Monday, recovering from Sunday’s 0.32% loss, to close at $0.6340.
• A potential Judge Torres rebuttal could frame a bullish price scenario for XRP.
• XRP retains bullish indicators, holding above the 50-day and 200-day EMAs, per the daily chart.

On Monday, XRP gained 1.39%. Reversing a 0.32% loss from Sunday, XRP ended the day at $0.6340. Despite the bullish session, XRP fell short of $0.64 for the third consecutive session.

XRP Price Action

This morning, XRP was down 0.14% to $0.6331.

Daily Chart

The Daily Chart showed XRP/USD sitting below the $0.6417 – $0.6530 resistance band. However, XRP moved through the 50-day EMA and remained above the 200-day, sending bullish near and longer-term price signals.

Looking at the 14-Daily RSI, the 45.10 reading reflects bearish sentiment, signaling a fall through the 50-day EMA to the upper level of the $0.5900 – $0.5750 support band. However, an XRP hold above the 50-day EMA would support a breakout from the $0.6417 – $0.6530 resistance band to retarget $0.66.

4-Hourly Chart

Looking at the 4-Hourly Chart, XRP sits below the $0.6417 – $0.6530 resistance band, with the bears eyeing sub-$0.60 and the $0.5900 – $0.5750 support band.

XRP sits below the 50-day and 200-day EMAs, sending bearish near and longer-term price signals. However, an XRP move through the EMAs and the 0.6417 – $0.6530 resistance band would give the bulls a run at $0.66.

The 52.92 14-4H RSI reading reflects bullish sentiment, with buying pressure outweighing selling pressure. Significantly, the RSI signals a breakout from the 50-day EMA to target the upper level of the 0.6417 – $0.6530 resistance band.

XRP Inflows and Sentiment Toward Coinbase Case Delivers Support

Reports of a sustained net inflow into XRP delivered a bullish start to the week. According to a CoinShares report, XRP saw $0.5 million in inflows last week, extending the run of net inflows to 16 weeks. Only BTC and ETH reportedly had higher net inflows last week.

The continued inflow trend suggests investors are unnerved by SEC plans to appeal the Judge Torres ruling, a bullish price scenario.

However, Ripple has not officially responded to the SEC motion for leave to file an interlocutory appeal. A response could come as early as today.

Judge Torres will then rule on the motion, with uncertainty over the Court decision leaving XRP in limbo. Amicus Curiae attorney John E Deaton shared his view on the filing, saying,

“I expect Judge Torres to grant this motion. This will then allow her to even more fully explain her reasoning and to also further make it appeal-proof. It will also allow her an opportunity to address anything Rakoff said.”

By way of background, Judge Rakoff, the presiding judge in the SEC v Terraform Labs case, said that Judge Torres made a mistake in the SEC v Ripple Court ruling when declaring that XRP was not a security when sold on exchanges. Rakoff believed that there is no difference between stocks and institutional sales in terms of being a security.

A Judge Torres rebuttal of Judge Rakoff’s comments would be a bullish price scenario.

Investor sentiment toward the ongoing SEC v Coinbase case likely contributed to the bullish start to the week. Interest in the Coinbase case has risen following Court filings of Amicus Curiae briefs on Friday.

The Day Ahead

The SEC v Ripple case remains the focal point, with a Ripple response to the SEC motion likely to move the dial. However, it is uncertain how long it would take for Judge Torres to decide on the SEC motion. A lengthy decision-making process could leave XRP on the back foot.

Investors should also monitor SEC activity and US lawmaker chatter, while ETF, Binance, and Coinbase-related news will continue to move the dial.

A response to the request to dismiss the SEC case against Coinbase would drive a market reaction.