After days of consolidation around the $0.35 zone, XRP is seeing a short-term surge as the cryptocurrency world awaits the decision of the Ripple v. Securities and Exchange Commission (SEC) court case.
Despite the increases, crypto trading specialist Ali Martinez has cautioned that XRP’s chart based on the TD (Tom Demark) Sequential may be displaying a sell signal.’ Martinez highlighted in his December 27 technical analysis that investors should also expect a bearish formation for XRP, which is indicative of a likely price drop.
“The TD Sequential generates a sell signal on the XRP four-hour chart, while a bearish divergence develops against the RSI. The bearish structure predicted a one-to-four candlestick retracement for XRP,” he said.
Notably, the TD Sequential indicator reveals the exact point of trend exhaustion and price reversal for a particular asset.
Indeed, the most recent XRP price fluctuation might be deemed crucial for the token’s pursuit of $0.50. The general adverse mood in the crypto market nullified the preceding position’s momentum.
At the time of publication, XRP was trading at $0.37, having gained roughly 4% on the daily chart and nearly 8% on the weekly chart. Recent purchasing pressure for XRP has led to its market capitalization reaching $18.54 billion.
In fact, despite slight advances, XRP’s fundamentals are mostly dependent on the current SEC v. Ripple lawsuit. After both sides have submitted their closing arguments and the regulator has filed a motion to seal some documents, the matter is heating up.
Under the motion, SEC asks the court to seal papers containing the names and identifying information of experts and XRP investor declarants, personal and financial information, and internal SEC documents reflecting official discussion and deliberation.
In addition to the situation, XRP is subject to the influence of the negative overall crypto price movement. The machine learning system at PricePredictions predicts that XRP will trade at $0.33 on January 1, 2023.
Disclaimer: The information provided in this article is for informational purposes only and should not be construed as financial or investment advice. Cryptocurrency investments are subject to market risks, and individuals should seek professional advice before making any investment decisions.