XRP price rebounds after worst month since June 2021 — major recovery ahead?
XRP opened May with a decent price rebound after falling 28% in April, its worst monthly performance since June 2021. Furthermore, the XRP/USD pair shows prospects of continuing its recovery trend in the coming weeks.
XRP's price rose by nearly 6.25% in the first two days of May, going as high as $0.63 (data from Binance). The buying sentiment surged around $0.58, a level that acted as strong support in January 2022 and enabled XRP to rise by more than 50% thereafter.
Interestingly, the $0.58-support coincides with XRP's 200-week exponential moving average (200-week EMA; the blue wave in the chart below).
It also serves as the lower trendline of a broader descending triangle pattern, a bearish indicator targeting $0.18 in the coming months.
But with XRP's price bouncing from a confluence of support levels, its likelihood of retesting the triangle's upper trendline is high. That would have the token test levels above $0.75 — up nearly 30% from today's price — as their next resistance target in Q2/2022.
XRP has emerged as a speculative vehicle for traders looking to benefit from the ongoing SEC vs. Ripple case.
In December 2020, the U.S. Securities and Exchange Commission (SEC) filed a lawsuit against Ripple for conducting illegal securities sales via XRP. Nonetheless, recent hearings indicate that the case has been going relatively well for Ripple.
Record GrowthMajority of Ripple partners & volume exists outside of US"already operating in worst case scenario"SEC case going exceedingly well$XRP Look at the Ripple Advisors & Board (e.g. 43rd US Treasurer, Former CFTC Chair, and now Michael Barr - Ripple Advisor...) https://t.co/9MhSctDjEQ pic.twitter.com/Z5HInHzSvJ
The SEC vs. Ripple case has dampened buying sentiment in the XRP
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