XRP price freefall grinds to a halt as crypto market cap surrenders the $1 trillion mark


  • XRP price is on the verge of bouncing off a rectangle support pattern for gains above $0.3667.
  • Ripple and the SEC finally have a settlement window for the ongoing court case.
  • Losses engulf the entire cryptocurrency market, forcing the total crypto market cap below $1 trillion.

XRP price is in the process of fortifying support around $0.3180 in the wake of a sharp decline from resistance at $0.3367. Although the cross-border money remittance token trades slightly above $0.3200, all eyes are fixated on its ability to bounce off support for a sustained northbound move.

On the other hand, analysts believe that as Bitcoin price slips below $19,000, it is pulling the entire crypto market down. It is doddering at $18,751 at the time of writing while Ethereum price struggles to nurse about 9.0% in daily losses. These widespread declines have seen the total crypto market cap drop to $982 billion; besides that, it could test June levels of $875 billion.

Read moreReasons why XRP’s green candle for this week means nothing inside Ripple’s bear cycle

 

Ripple vs. SEC lawsuit: Is a settlement on the horizon?

The Ripple vs. SEC lawsuit has dragged on for nearly two years. However, Jeremy Hogan, a legal expert closely following the case, believes both parties could arrive at a settlement over the next few months.

According to Hogan, the allegations the Securities and Exchange Commission (SEC) filed against Ripple Labs and its top executives that it sold XRP as an unregistered security may be settled before November.

“[The] most likely settlement timeframe is from now until the end of November, because the cards will be on the table,” Hogan reckoned.

The lawsuit has relatively suppressed XRP price to the extent it failed to hit a new lifetime high during the previous bull market. A positive outcome may change the narrative, allowing XRP price to achieve its bullish potential.

XRP price rebounds toward a possible rectangle breakout

XRP price was rejected on its latest breakout mission by resistance at the top of a rectangle price pattern, as illustrated in the four-hour chart below. The losses were unstoppable until the international money transfer token hit the governing pattern’s support line.

Due to extreme volatility, XRP price hit oversold levels twice in the same week. Nevertheless, an applied Stochastic oscillator reveals a strong uptrend in the cards. It is worth noting that the index flipped bullish as soon as it lifted out of the oversold region. If the Stochastic upholds this uptrend, bulls will regain confidence and realign their mission to the rectangle hurdle at $0.3367 – beyond that they may even be ready for the ultimate climb past $1.0000.

XRPUSD price chart

XRP/USD four-hour chart

The market value realized value (MVRV) on-chain metric by Santiment affirms the upcoming XRP price breakout. With a reading of -5.35%, investors generally feel XRP is undervalued and, therefore, in a buy zone.

 XRP MVRV on-chain model

XRP MVRV on-chain model

Usually, a reading above the mean line (0.00%) implies overvaluation. In other words, most holders are in profit and will likely sell to make a profit. Investors must heed the bullish call to buy XRP – a move that may set up the cross-border money transfer token for a rally in the coming days – maybe weeks.

Read more: XRP Price Prediction: Ripple inflates 1 billion XRP tokens into circulating supply


Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.

If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.

FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.

The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.

Recommended content


Recommended Content

Editors’ Picks

US presidential election outcome could shape the future of crypto

US presidential election outcome could shape the future of crypto

US citizens will go to the polls to elect a new president on November 5, and their choice could be key for the future of the crypto industry and thus the price outlook for Bitcoin (BTC).

More Cryptocurrencies News
Bitcoin ETFs beat Gold ETFs with 65% gain since launch

Bitcoin ETFs beat Gold ETFs with 65% gain since launch

Bitcoin ETFs have reshaped the digital asset investment landscape since their approval in January. Their total assets under management climbed over $70 billion during the weekend, placing them ahead of other investment products, including gold.

More Bitcoin News
XRP eyes 10% rally amid relisting across crypto exchanges and growing institutional demand

XRP eyes 10% rally amid relisting across crypto exchanges and growing institutional demand

Ripple's XRP is trading at $0.5050 up slightly by 0.2% in the past 24 hours as it struggles to sustain a move above a key symmetry triangle resistance. Meanwhile, in its recently released Q3 report, Ripple noted the rising listing and relisting of XRP across crypto exchanges and global platforms.

More Ripple News
Ethereum Price Forecast: ETH struggles below $2,500 amid State of Michigan pension fund investment in ETH ETF

Ethereum Price Forecast: ETH struggles below $2,500 amid State of Michigan pension fund investment in ETH ETF

Ethereum is trading near $2,420, down about 1% on Monday, but could bounce off a key descending trendline close to the $2,258 historically high demand zone. Meanwhile, the State of Michigan pension fund revealed an investment of $11 million in ETH exchange-traded funds.

More Ethereum News
Bitcoin: New all-time high at $78,900 looks feasible

Bitcoin: New all-time high at $78,900 looks feasible

Bitcoin price declines over 2% this week, but the bounce from a key technical level on the weekly chart signals chances of hitting a new all-time high in the short term. US spot Bitcoin ETFs posted $596 million in inflows until Thursday despite the increased profit-taking activity.

Read full analysis
Best Forex Brokers with Low Spreads

Best Forex Brokers with Low Spreads

VERIFIED Low spreads are crucial for reducing trading costs. Explore top Forex brokers offering competitive spreads and high leverage. Compare options for EUR/USD, GBP/USD, USD/JPY, and Gold.

Read More

BTC

ETH

XRP