{"id":29982,"date":"2022-09-24T10:20:00","date_gmt":"2022-09-24T10:20:00","guid":{"rendered":"https:\/\/egrowonline.com\/?p=29982"},"modified":"2022-09-24T10:20:00","modified_gmt":"2022-09-24T10:20:00","slug":"xrp-hits-13-month-high-versus-bitcoin-with-35-daily-surge-but-is-a-correction-inevitable","status":"publish","type":"post","link":"http:\/\/egrowonline.com\/?p=29982","title":{"rendered":"XRP hits 13-month high versus Bitcoin with 35% daily surge \u2014 But is a correction inevitable?"},"content":{"rendered":"


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XRP<\/a>\u00a0price posted a sharp rally against Bitcoin (BTC<\/a>) on continued optimism about a potential settlement between Ripple, a San Francisco-based blockchain payment firm, and the U.S. Securities and Exchange Commission (SEC).<\/p>\n

Settlement rumors fuel XRP price boom\u00a0<\/h2>\n

On Sept. 23, the XRP\/BTC pair surged to 0.00002877 \u2014 its best level in 13 months \u2014 from 0.00002132, a 35% price rally versus Bitcoin in one day. Meanwhile, the same timeframe saw XRP rising as much as 42% against the U.S. dollar<\/a>.<\/p>\n

XRP\/BTC and XRP\/USD daily price chart. Source: TradingView<\/em><\/figcaption><\/figure>\n

The big price leaps in the XRP market started appearing after Ripple and SEC filed motions<\/a> for a summary judgment with the court on Sept. 12 regarding their ongoing legal battle over allegations that Ripple hcommitted securities fraud.<\/p>\n

In other words, Ripple and SEC agreed that the court should use the available evidence to reach a verdict on whether the blockchain firm illegally raised funds by selling XRP\u00a0by December 2022, and thus avoid a trial.\u00a0<\/p>\n

XRP’s price has boomed approximately 75% and 60% versus Bitcoin and the dollar, respectively, since Ripple’s court filing, fueled by optimism of a possible win for Ripple. <\/p>\n

The buying accelerated further after Ripple CEO Brad Garlinghouse suggested the same in his recent interview with Fox Business on Sept. 22.<\/p>\n

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BREAKING: Ripple CEO @BGarlinghouse<\/a> Appears on Fox Business Amid $XRP<\/a> Price Surge Approaching $0.50<\/p>\n

pic.twitter.com\/wg6a3QeSly<\/a><\/p>\n

\u2014 HeadlineHunter!U.S. (@HHunter_US) September 22, 2022<\/a><\/p><\/blockquote>\n

Garlinghouse:<\/p>\n

“People realize that the SEC is really overreaching and they are not following a faithful allegiance to the law in pursuit for an outcome […] The SEC has kind of lost its way.”<\/p><\/blockquote>\n

XRP sharks and whales buying since 2020<\/h2>\n

The price surge also comes amid the consistent accumulation of XRP tokens by rich investors csince May.<\/p>\n

The percentage of entities holding between 1 million and 10 million XRP tokens \u2014 known as sharks and whales \u2014 has risen as a whole to 6.35% on Sept. 23, 2022, up from 5.43% on Dec. 31, 2020, according<\/a> to data from Santiment, which noted:\u00a0<\/p>\n

“Active shark & whale addresses holding 1m to 10m $XRP have been in an accumulation pattern since late 2020.”<\/p><\/blockquote>\n

Active XRP shark and whale addresses. Source: Santiment<\/em><\/figcaption><\/figure>\n

Meanwhile, the given period also witnessed entities with over 10 million XRP tokens reaching an all-time low 70.75% of the current supply.\u00a0<\/p>\n

Pain ahead?<\/h2>\n

It appears that traders have been\u00a0buying the rumor<\/a>\u00a0in the run-up to the Ripple vs. SEC verdict. But while it remains to be seen if this will then turn into “sell the news,” depending on the outcome of the ruling, XRP’s technicals are hinting at a potential correction.<\/p>\n

Notably, XRP has already become an overbought asset versus Bitcoin and the dollar.<\/p>\n

Related:\u00a0Total crypto market cap shows strength even after the Merge and Federal Reserve rate hike<\/a><\/em><\/strong><\/p>\n

The relative strength index (RSI) for XRP\/BTC reached almost 85 on Sept. 23, way above the overbought threshold of 70 that typically precedes a strong price correction or consolidation.<\/p>\n

XRP\/BTC has already corrected by nearly 10% from its 13-month peak, as shown in the chart below. The pair now tests 0.00002601 as its short-term support, which, if broken to the downside, could have it test 0.00002079 as its primary downside target or a 20% drop from current levels by the end of the year.\u00a0<\/p>\n

XRP\/BTC daily price chart. Source: TradingView<\/em><\/figcaption><\/figure>\n

Meanwhile, XRP eyes a similar sharp correction versus the dollar after crossing paths with a multi-month descending trendline resistance, as shown below.<\/p>\n

XRP\/USD three-day price chart. Source: TradingView<\/em><\/figcaption><\/figure>\n

An extended pullback from the trendline resistance could see XRP test its near-term horizontal trendline support as its next downside target. In other words, the XRP\/USD pair could drop to $0.31 by the end of 2022, down almost 40% from Sept. 23’s price.<\/p>\n

The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Cointelegraph.com. Every investment and trading move involves risk, you should conduct your own research when making a decision.\n<\/p>\n<\/div>\n


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XRP\u00a0price posted a sharp rally against Bitcoin (BTC) on continued optimism about a potential settlement between Ripple, a San Francisco-based blockchain payment firm, and the U.S. Securities and Exchange Commission (SEC). Settlement rumors fuel XRP price boom\u00a0 On Sept. 23, the XRP\/BTC pair surged to 0.00002877 \u2014 its best level in 13 months \u2014 from […]<\/p>\n","protected":false},"author":1,"featured_media":29983,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":"","jetpack_publicize_message":"","jetpack_publicize_feature_enabled":true,"jetpack_social_post_already_shared":true,"jetpack_social_options":{"image_generator_settings":{"template":"highway","enabled":false}}},"categories":[40],"tags":[4748,50,679,473,261,259,3399,371,58],"class_list":["post-29982","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-market-analysis","tag-13month","tag-bitcoin","tag-correction","tag-daily","tag-high","tag-hits","tag-inevitable","tag-surge","tag-xrp"],"jetpack_publicize_connections":[],"jetpack_sharing_enabled":true,"jetpack_featured_media_url":"http:\/\/egrowonline.com\/wp-content\/uploads\/2022\/09\/1200_aHR0cHM6Ly9zMy5jb2ludGVsZWdyYXBoLmNvbS91cGxvYWRzLzIwMjItMDkvN2Q1NzdiOGItNDBiNy00NTgxLWJmYzQtN2E0OWNmODkxNjI4LmpwZw.jpg","_links":{"self":[{"href":"http:\/\/egrowonline.com\/index.php?rest_route=\/wp\/v2\/posts\/29982","targetHints":{"allow":["GET"]}}],"collection":[{"href":"http:\/\/egrowonline.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"http:\/\/egrowonline.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"http:\/\/egrowonline.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"http:\/\/egrowonline.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=29982"}],"version-history":[{"count":1,"href":"http:\/\/egrowonline.com\/index.php?rest_route=\/wp\/v2\/posts\/29982\/revisions"}],"predecessor-version":[{"id":29984,"href":"http:\/\/egrowonline.com\/index.php?rest_route=\/wp\/v2\/posts\/29982\/revisions\/29984"}],"wp:featuredmedia":[{"embeddable":true,"href":"http:\/\/egrowonline.com\/index.php?rest_route=\/wp\/v2\/media\/29983"}],"wp:attachment":[{"href":"http:\/\/egrowonline.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=29982"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/egrowonline.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=29982"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/egrowonline.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=29982"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}