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XRP Gains Momentum On Technical And Regulatory Signals

7h45 ▪ 4 min read ▪ by Luc Jose A.
Getting informed Altcoins
Summarize this article with:

In just a few days, Ripple’s crypto has crossed several key technical thresholds, awakening expectations of a bullish rally as early as this October. In a context where indicators align and regulatory deadlines approach, attention turns to an asset long relegated to the background. What if XRP became the trigger for the next bullish movement?

XRP Gains Momentum On Technical And Regulatory Signals

In brief

  • XRP crosses a key technical threshold around $2.80, supported by a strong accumulation zone.
  • Chart indicators signal a possible bullish breakout with targets up to $4.20.
  • This October looks to be a pivotal period for XRP, amid increasing technical pressure.
  • The SEC is set to rule this month on several spot XRP ETF requests, including Grayscale’s.

Technical signals that herald a possible price explosion

XRP has initiated a marked bullish momentum by breaking a support level deemed crucial by analysts, while David Schwartz has just left his CTO position at Ripple.

Indeed, the crypto price moved from $2.69 to nearly $3 in a few days, settling above the strategic zone of $2.75 to $2.80. This zone forms an important base, within which nearly 4.3 billion XRP tokens were acquired.

For Alpha Crypto Signal analysts, this setup marks a turning point. “XRP is currently trading within a descending triangle while buyers continue to defend the $2.80 support zone,” they explain, adding that “this compression sets up a decisive move.”

Technically, several factors converge toward an imminent bullish breakout scenario :

  • The support between $2.75 and $2.80 held, confirming a massive accumulation zone ;
  • The formation of a descending triangle suggests price compression conducive to an upward explosion ;
  • The $3 threshold corresponds to a major resistance located at the 0.618 Fibonacci retracement level ;
  • In case of a clear breakout, analysts anticipate a rise towards $3.40 or even $3.66 ;
  • Analysts even mention the possibility of a movement toward $4.20 if the breakout is supported by strong volume and institutional buying.

These data, all based on technical and on-chain indicators, reveal a potentially explosive October for XRP, provided the signals are confirmed by upcoming market movements.

Waiting for XRP ETFs : a catalyst or a regulatory mirage?

Alongside these technical signals, attention now turns to another potentially explosive factor: the possible SEC approval of several spot ETFs on XRP. The situation could take a turn by mid-October, as six requests await a decision, including Grayscale’s, with a deadline set for October 18.

Other cases will be decided between October 19 and 25. This regulatory sequence takes place in a calmer climate, following the resolution of the dispute between the SEC and Ripple, fueling hopes for a partial or full green light.

If the Commission were to approve even partially these ETFs, the consequences could be immediate. The example of the XRPR fund from REX/Osprey, launched on September 18, illustrates this enthusiasm well. It recorded $38 million in volume on its first day of trading.

This precedent fuels speculation about a massive influx of institutional capital in case of approval. The impact of such a decision would go beyond a simple price increase. It would be a genuine legitimization signal for XRP, likely to boost its liquidity, widen its investor base, and promote greater adoption in professional portfolios.

In the long term, if these ETFs are validated as with the inclusion in the Hashdex Nasdaq ETF, XRP could enter a new phase of maturation in the market, similar to the path taken by other cryptos after the arrival of regulated financial products. However, conversely, a rejection of requests could dampen current enthusiasm, increasing volatility around the asset and highlighting uncertainty that continues to weigh on the crypto ecosystem in relation to regulators.

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Luc Jose A. avatar
Luc Jose A.

Diplômé de Sciences Po Toulouse et titulaire d'une certification consultant blockchain délivrée par Alyra, j'ai rejoint l'aventure Cointribune en 2019. Convaincu du potentiel de la blockchain pour transformer de nombreux secteurs de l'économie, j'ai pris l'engagement de sensibiliser et d'informer le grand public sur cet écosystème en constante évolution. Mon objectif est de permettre à chacun de mieux comprendre la blockchain et de saisir les opportunités qu'elle offre. Je m'efforce chaque jour de fournir une analyse objective de l'actualité, de décrypter les tendances du marché, de relayer les dernières innovations technologiques et de mettre en perspective les enjeux économiques et sociétaux de cette révolution en marche.

DISCLAIMER

The views, thoughts, and opinions expressed in this article belong solely to the author, and should not be taken as investment advice. Do your own research before taking any investment decisions.