The Ripple price appears to be defying gravity. This weekend, the XRP price surged to $1.5135, the highest it has been since January 2018. This means that the currency has surged by more than 700% from its lowest level this year. It has also outperformed the Ethereum and Bitcoin prices this year.
Ripple vs ETH and BTC
What happened: XRP has made a strong recovery this year after it dropped sharply in December after the SEC launched a lawsuit. As a result of the lawsuit, many exchanges like Coinbase and Binance suspended trading of the XRP token.
However, as the case has progressed, many analysts have shifted their thoughts on the outcome. Some believe that Ripple Labs and its executives have a strong case and that the SEC could lose. Last week, the judge rejected SEC’s application for the executives’ bank records. At the same time, even if Ripple loses, analysts believe that XRP will do just fine.
Today, XRP is valued at $60 billion, making it the fourth-largest cryptocurrency in the world after Bitcoin, Ethereum, and Binance Coin. Its volume rose by 12% to $12 billion in the past 24 hours.
Ripple price forecast
Turning to the daily chart, we see that the XRP price has been in a strong rally recently. It broke above the important resistance level at $0.7535 on April 5. Before that, the price was forming an ascending triangle pattern.
Today, the XRP has moved above the 25-day and 50-day moving averages, in a sign that bulls have the momentum. However, it has already dropped by 11% after it reached the important resistance at $150. This decline is expected since $1.5 is a point where most traders had located their take-profits.
Therefore, in my view, the price may decline further on this profit-taking and then resume the upward trend as bulls target the next key resistance at $2. This XRP prediction will be invalidated if it moves below 1.1200.
XRP price chart
- Download our latest quarterly market outlook for our longer-term trade ideas.
- Follow Crispus on Twitter.
- Do you enjoy reading our updates? Become a member today and access all restricted content. It is free to join.