XRP Price Rallies
• XRP rose 2.1% to $0.52 on April 11, extending its daily gains from $0.50 alongside a broader cryptocurrency market rally.
• A key resistance-turned-support line has limited XRP’s upside prospects as the fractal could cause a 25% pullback towards its multimonth ascending trendline support near $0.40 by May.
• The XRP price has soared by nearly 55% in 2023, primarily due to anticipations that Ripple will win the lawsuit against it by the United States Securities and Exchange Commission (SEC).
Lackluster Volumes
Despite the extended gains, lackluster volumes accompanying XRP’s price appreciation hints at a potential price correction in the future, with a possible pullback towards the pennant’s lower trendline near $0.51 or even an overall correction invalidating any bullish continuation setup.
Hopes on Easing Inflation Data
Traders are pinning their hopes on easing inflation data into April 12 for further upside potential of XRP breaking out of its prevailing bull pennant range with a price target of $0.65.
SEC vs Ripple Hype Cools Down
Speculations that the ruling for SEC vs Ripple case would come out by March end did not materialize and Google search score for “SEC vs Ripple” declined from 100 to 56 in week ending April 8. Simultaneously, “XRP” social volumes dropped from their March highs according to data tracked by Santiment.
Rate Hike Risks Could Lead To Correction
XRP remains in lockstep with Bitcoin (BTC) on a daily timeframe but BTC risks a correction to $25,000 due to rate hike risks which could lead to losses across altcoins including XRP as well.