Ripple coin wavered at a crucial resistance level this week as Bitcoin and most major altcoins stalled.
Ripple (XRP) was trading at $2.10 on Thursday, up over 30% from its lowest point this month.
The most significant news on Ripple was a U.S. court’s decision to grant both Ripple and the Securities and Exchange Commission a 60-day pause as they negotiate a potential settlement.
XRP’s price reacted mildly to the report, as it aligned with expectations from analysts and investors. Additionally, the SEC has recently taken a more conciliatory stance toward the crypto industry, ending lawsuits against companies like Coinbase and Uniswap.
Ripple Labs hopes that resolving the SEC lawsuit will help it reach new agreements with financial institutions, including banks and money transfer companies. In a recent statement, Brad Garlinghouse said that his ultimate goal is to position Ripple as a faster and cheaper alternative to SWIFT, which currently handles over $150 trillion annually.
He argued that SWIFT’s technology is outdated, having been built over 50 years ago, and remains slow and costly to consumers. Ripple, on the other hand, offers faster transaction speeds, with transfers completing in seconds at minimal cost.
Ripple has continued efforts to boost the utility of the XRP Ledger. It recently integrated the Ripple USD stablecoin into its payment network. The company also acquired Hidden Road, a firm with $10 billion in daily transactions, which it plans to migrate to the XRP Ledger.
XRP price technical analysis
Technical indicators suggest the XRP price may break higher in the coming weeks. That outlook will strengthen if the coin rises above the 50-day moving average, a level it has failed to surpass since March 6.
XRP will also need to break above the descending trendline that connects the highest swings since January 6. Further confirmation of upside momentum would come if it climbs above $2.90, the shoulders of the head-and-shoulders pattern.
If these three conditions are met, XRP could rally to its year-to-date high of $3.40 — approximately 55% above its current level. The bullish outlook would be invalidated if Ripple falls below the neckline of the head-and-shoulders pattern at $1.9035.
