XRP Price Target Shifts to $0.60 as Investor Optimism Surges

Key Insights:

• On Thursday, XRP surged by 22.90% to wrap up the session at $0.48469.
• Optimism towards the SEC v Ripple case drove XRP to its highest level since May 2022.
• The technical indicators are bullish, with XRP sitting above the 50-day EMA, supporting a breakout from $0.50.

On Thursday, XRP surged by 22.90%. Reversing a 4.85% slide from Wednesday, XRP ended the day at $0.48469.

Bullish throughout the Thursday session, XRP rallied from an early low of $0.39464 to a late high of $0.49964. XRP broke through the First Major Resistance Level (R1) at $0.4250 and the Second Major Resistance Level (R2) at $0.4556. However, resistance at $0.50 pinned XRP back from a run at the Third Major Resistance Level (R3) at $0.5075.

Sentiment towards the SEC v Ripple case drove demand for XRP, which continued to decouple from riskier assets. On Thursday, the NASDAQ 100 fell by 1.37%, weighed by the Fed policy and the economic outlook.

Hopes for a Favorable Settlement by December Delivered an XRP Breakout

Following Wednesday’s Fed-fueled pullback, investor focus returned to the SEC v Ripple case. The weekend filings of the Motions for Summary Judgment have driven XRP back towards the $0.50 handle.

The markets are eying a December conclusion to the SEC v Ripple case that would also mark its third anniversary. Investor sentiment towards a favorable outcome is substantiated.

The defendants filed the Motion for Summary Judgment before a Court decision on the SEC objection to the Court denying its motion to shield William Hinman’s speech-related documents under the attorney-client privilege.

The former SEC Director of the Division of Corporation Finance, William Hinman, is a central figure in the SEC v Ripple case. In a famous 2018 speech, Hinman said that Bitcoin (BTC) and Ethereum (ETH) are not securities.

Until late July, the SEC had battled to shield the Hinman documents under the attorney-client privilege. However, the Motion for Summary judgment filing suggests an out-of-court agreement. The market consensus has been that the SEC would settle before producing the speech-related docs.

XRP Price Action

At the time of writing, XRP was up 1.10% to $0.4900. A mixed start to the day saw XRP fall to an early low of $0.48226 before rising to a high of $0.4900.

Technical Indicators

XRP needs to avoid the $0.4597 pivot to target the First Major Resistance Level (R1) at $0.5247. With optimism toward the SEC v Ripple case delivering the breakout session on Thursday, updates will need to be XRP-friendly to support a breakout from $0.50.

Another extended rally would support a run at $0.55 and the Second Major Resistance Level (R2) at $0.5647. The Third Major Resistance Level (R3) sits at $0.6697.

A fall through the pivot would bring the First Major Support Level (S1) at $0.4197 into play. Barring an extended sell-off, XRP should steer clear of sub-$0.40 and the Second Major Support Level (S2) at $0.3547.

The Third Major Support Level (S3) sits at $0.2497.

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

At the time of writing, XRP sat above the 50-day EMA, currently at $0.39139. The 50-day EMA widened from the 100-day EMA, with the 100-day EMA pulling away from the 200-day EMA. The signals were price positives.

Following Monday’s breakout from the 50-day EMA, the current trend supports an XRP breakout from R1 ($0.5247) to target $0.55. However, a slide through S1 ($0.4197) would give the bears a run at the 50-day EMA ($0.39139). The 200-day EMA sits at $0.36002.