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Monday, June 10, 2024
HomeCryptoXRP could see a further decline in the next few days

XRP could see a further decline in the next few days

Ripple (XRP) has been locked in a legal battle with the United States Securities and Exchange Commission (SEC) for nearly four years. The lawsuit was dragged on as investors waited for the SEC’s response to the settlement company’s application from May 29.

XRP is hovering around the key level at $0.50, amid CEO Brad Garlinghouse’s recent statement on meme coins at the Consensus 2024 event.

Market dynamics: Ripple CEO comments on meme coins, investors wait for lawsuit updates

Ripple CEO Brad Garlinghouse shared his thoughts on meme coins at Consensus 2024. Garlinghouse said:

“I get a lot of criticism for saying these things but I will still say, I don’t think Dogecoin has done any good for the industry.”

He questioned the usefulness of the meme coin and criticized it for its lack of practical application. Despite this, Garlinghouse insists that he is not “against Dogecoin.”

The lawsuit between the SEC and Ripple continues with the payments company filing a motion to seal related documents. These documents relate to the regulator’s application for judgment and remedy.

Ripple’s recent application is a letter of support for its Omnibus proposal. The payments company explained that the SEC should not release the company’s sensitive financial information in its May 29 filing.

Investors await the SEC’s response to the application, as of June 10.

Technical analysis: Bearish outlook

XRP has been forming a descending triangle since March 25 and is hovering around the key level of $0.50.

The bearish chart pattern is characterized by a descending trendline and an underlying horizontal trendline. XRP price touched the upper trendline multiple times from May 25 to June 6, and the lower trendline at $0.4917 acted as support from March 25 to June 10.

The red histogram bars below the neutral line on the MACD indicator support the bearish thesis. The Relative Strength Index (RSI) is at 39.53, pointing towards the oversold level of 30.

The next outlook for XRP is a nearly 10% drop to a low of $0.4508 on June 7. XRP may find support at the 23.6% Fib retracement level at $0.4717. This Fibonacci level marked a decline from Ripple’s $0.6431 peak on April 9 to a low of $0.4188 on April 13.

XRP/USDT Daily Chart | Source: TradingView

A daily candle close above the resistance line of the descending triangle could invalidate the bearish thesis for XRP. It could then target the 50% Fib retracement level at $0.5310.

You can see XRP price here.

Disclaimer: This article is for informational purposes only, not investment advice. Investors should research carefully before making a decision. We are not responsible for your investment decisions.

SN_Nour

According to Fxstreet

Mark Tyson
Mark Tyson
Freelance News Writer. Always interested in the way in which technology can change people's lives, and that is why I also advise individuals and companies when it comes to adopting all the advances in Apple devices and services.
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