Can XRP Reach $1? Check These Crypto Levels

The value of XRP (XRP) has shot up after a decision by a US federal court that its trading on crypto exchanges is in accordance with US securities regulations.

On July 14, the XRP price dropped by about 10% to $0.76, but compared with its lowest level the previous day, it was still up about 65%.

At its highest in the last 24 hours, the XRP/USD pair hit $0.93, its highest level since December 2021, just shy of the $1 mark.

The surge in XRP’s value has been attributed to the surge in optimism crypto, with Shiba Crypto, Req Crypto, Terra Luna Crypto, Reddit Crypto, The Block Crypto, Skale Crypto, Upcoming Crypto and What Three Features are Integrated into Web 3.0 all playing a role.

A whale-backed XRP rally

Analysis of the data reveals that XRP’s current price surge may not be a short-term reaction to the good news for Ripple. For example, the length of XRP’s massive pump coincides with its trading volumes reaching a 10-month high. In addition, the number of XRP whale transactions — wallets with more than $100,000 — has reached its highest point since 2023, indicating that the largest investors are supporting the XRP rally.

“If the key whale and shark addresses are increasing their supply before the pump, it is a good sign that the pump may only be beginning and is a sign of good things to come,” commented Brian Q, an analyst from the Santiment data analytics platform.

Moreover, the XRP price increase is in line with an increase in the supply held by entities with a balance of 100,000-10 million tokens. In other words, whales have not sold the rally, but have accumulated XRP, indicating that most of them are positioning themselves for further gains.

XRP to $1 and beyond?

From a technical point of view, XRP may attempt to reach the key $1 level in the near future, but its ability to maintain its bullish momentum beyond this level appears to be limited for the time being.

Notably, the pullback on July 14 happened close to a resistance confluence formed by a multiyear horizontal trendline (purple) and a giant descending trendline ceiling (black).

In addition, XRP’s weekly relative strength index (RSI) has become overbought, increasing the likelihood of a correction.

If a pullback does happen, XRP may drop to its multiyear ascending trendline support near $0.45 by September, representing a decrease of around 55% from the current price level. Other potential targets include the token’s 50-week exponential moving average (50-week EMA; the red wave) near $0.48 and 200-week EMA (the blue wave) near $0.50.

On the other hand, an overbought RSI could also lead to the XRP price consolidating sideways inside the $0.75–$1 range.

If the XRP price manages to break above $1, its next price target by September is likely to be near $1.35, a resistance level from the August to December 2021 session.

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