XRP price has been struggling despite scoring several partial victories against the United States Securities and Exchange Commission (SEC) Over the past year. The initial surge was not enough to push it to the coveted $1 level. However, this did not deter the bulls, especially with bullish formations on the chart and multiple predictions that the XRP price is set to reach a new all-time high.
XRP price flashes golden cross
A pseudonymous crypto analyst known as @Nico369K on the X platform (formerly Twitter) pointed an interesting formation on the XRP price chart. This formation is known as the “Golden Cross” and is an exceptionally bullish formation on the chart of any digital asset.
Related Reading: Crypto Analyst Says XRP Still on Track to Climb to $150
Golden crosses usually occur when an asset’s short-term moving average crosses an important long-term moving average of that asset. The moving average can be of any period, ranging from daily to weekly, and according to the crypto analyst, the Golden cross appeared on the weekly chart.
The Golden Cross, by itself, signifies long-term bullish momentum for an asset, suggesting that XRP price may be heading towards a bullish trend. However, that’s not the only bullish thing that’s appeared on the chart, as the Relative Strength Index (RSI) is also bullish.
According to the crypto analyst, the RSI is currently around 44.31, which represents a significant drop in the past few months. The RSI signifies whether an asset is overbought or oversold, with higher values indicating overbought territory, which is bearish, and lower values indicating oversold territory, which is bullish.
Typically, RSIs of around 30 mark oversold territory and the XRP price is still above this level. However, the decline in the RSI suggests that the price of altcoin has already moved down towards oversold territory and a rally could emerge due to this.
Other factors that could drive a rally
O Ripple vs. SEC Lawsuit has been the obvious culprit when it comes to why the price of XRP has not performed as well as its peers over the past four years. The process, which began in 2020, has now been going on for almost four years, and in that time, the XRP price fell below $1 and stayed there.
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However, the lawsuit is expected to wrap up this year after Judge Analisa Torres ruled that programmatic sales of XRP on secondary exchanges did not qualify as securities. As a result, Ripple is now stuck in settlement talks with the regulator to determine a comfortable outcome for the parties involved.
Ripple CEO Brad Garlinghouse recently said that it is confident that the case will be over soon. Once the process is over, expectations are that the price of XRP will finally be free to move. In this case, the price of XRP could surpass $1, with some analysts predicting that the price could surpass $10 once the rally is over.
Featured image created with Dall.E, chart from Tradingview.com