XRP price was trading slightly higher on Tuesday during the London trading session after jumping to its highest level since 2022 last week. At the time of writing, the altcoin was trading at $0.7485. XRP price has jumped by more than 55% in the past week and has climbed to 119.47% in the year to date, surpassing Bitcoin.
XRP price jumped to its highest level in more than a year later last week as markets digested the latest ruling on the SEC vs Ripple Labs case. Ripple Labs, the cryptocurrency company behind the XRP token, defeated the US Securities and Exchange Commission’s case against it over the sale of XRP. Ripple has been battling the lawsuit for more than 3 years, since 2020.
US District Judge Analisa Torres ruled in favor of Ripple Lab’s, agreeing to its argument that XRP is not a security, and that half of the company’s sale of the token did not violate federal investor-protection laws. However, the Judge ruled that XRP is considered a security when solely sold to institutional investors.
XRP price jumped more than 70% following the landmark court win against the SEC, with the asset’s total market cap jumping by more than 80%. Crypto heavyweights, Ethereum and Bitcoin, also edged higher on the back of positive crypto sentiment. Ethereum, the largest altcoin by market cap, breached the important $2,000 level for the first time this year, while Bitcoin retested the significant zone of $31,000.
The federal ruling buttressed claims by major cryptocurrency exchanges that are facing the same allegations by the Wall Street regulator. Altcoins, including Solana, Cardano, and Polygon, which were recently deemed securities by the SEC, also jumped higher after the ruling. Even so, the rally is cooling down as concerns about macroeconomic headwinds outweigh last week’s excitement.
XRP Price Analysis
The daily chart shows that the XRP price rally has lost momentum after skyrocketing to its highest level since March 2022. Even so, the digital asset remains above the 50-day and 200-day exponential moving averages, with its Relative Strength Index (RSI) in the overbought zone at 72.
Therefore, there is a likelihood that the XRP price will pull back further as traders target the crucial level of $0.5850. A move below this level will have sellers eyeing the next support at $0.5290. On the flip side, a move above the resistance level of $0.8285 will invalidate this thesis.