- Ripple prices accumulating
- Expansion or contraction of Ripple (XRP) hinged at regulation, Bahrain taking the lead
- Volumes more than double in the last three weeks, XRP struggling below 34 cents
XRP may be available for trading at CoinBase Pro, but questions on regulation continue to pop up. Bahrain is diffusing this uncertainty by regulating assets.
Ripple Price Analysis
In part, Ripple (XRP) adoption is mainly dependent on regulation. Reasons? Well, it is because Ripple as a platform is a conduit for value transfer. Since they are cheap and efficient manner, Ripple solutions can open up the world in ways like never before.
Efficiency and cost saving will be amplified if adopting financial institution incorporate XRP via xRapid that a Dan Morgan, the Head of Regulatory Relations at Ripple Inc said the product is yet to go live despite being commercially available after launching during the super-hyped Ripple sponsored SWELL Conference where Bill Clinton gave a keynote calling for supportive regulation.
Because regulatory clarity is a top priority, news that Bahrain is taking the lead and regulating digital asset ought to be good news for XRP. We must remember that Ripple Inc has a foothold in the Middle East and as Sharia-compliant; it has the support of the Saudi Arabia Monetary Authority (SAMA).
What we have in the daily chart is consolidation as buyers reverse losses of Feb 24. In a defined bull trend, buyers are still struggling to break out and trade above the first level of resistance at 34 cents. Just like 30 cents main support, 34 cents—the 61.8 percent Fibonacci retracement level– is our main buy trigger line.
Once buyers have the upper hand and break above it, the resultant buy frenzy could see XRP prices pumped above 40 cents where risk-averse traders would be free to buy on pullbacks with first targets at 60 cents—Dec 2018 highs and later 80 cents.
However, as long as this accumulation continues, our bullish hopes will be pinned on reaction at 30 cents and the rate of price expansion once our trade conditions are live above 34 cents and most importantly 40 cents.
Transactional levels are ballooning hinting of a possible accumulation (or distribution) depending on breakout direction. With averages at 37 million, any drive above 34 cents or below 30 cents must be at the back of high volumes exceeding 61 million of Feb 24. That will either reverse or confirm the bull trend of Jan 30 and Feb 18.