An increase in open interest leads to an increase in the price of XRP
Despite a potential breakout, XRP’s price remains tied to developments regarding the lawsuit between the SEC and Ripple.

Investors are increasingly betting on the XRP (XRP) token’s price breakout. Could XRP be poised to see more upside momentum?

Traders increasingly betting on XRP’s price to rise
More traders are betting on XRP’s

tickers down

price to rise, as reflected by the jump in open interest (OI), according to market analysis by verified CryptoQuant author Woominkyu.

He wrote in a June 18 research report:
However, the author cautioned that this could also translate into increased price volatility. He wrote:

“As open interest increases along with the price, this could reflect investor expectations and actions, but it could also bring about sudden market fluctuations, so caution is necessary.”

XRP’s price has been in a downtrend since the beginning of the year, down over 19% year-to-date (YTD), trading at the $0.49 mark, according to TradingView data.

“This trend suggests that as open interest rises alongside price,
investors are opening more positions with the expectation of XRP’s price

increase. This heightened interest indicates that more trading activity is occurring with XRP.”

XRP’s open interest started rising on June 11, and the expectations of a breakout could be related to developments in Ripple’s case against the United States Securities and Exchange Commission (SEC).

إقرأ أيضا:‘No fucking way’ — Joe Rogan, Post Malone slam US government CBDC

On June 13, Ripple asked for a penalty of “no more than $10 million” — far lower than the regulator’s proposed $876.3-million civil penalty — citing the SEC’s settlement with Terraform Labs.

إقرأ أيضا:Pass the SEC rules In How Brokers Use Artificial Intelligence

“That low of a penalty would not satisfy the purposes of the civil penalty statutes,” argued the SEC in a June 14 letter to Judge Torres a day later.

A potential settlement would come as a sign of relief for investors, considering that the pair has been in a court fight since 2020 when the SEC claimed Ripple sold unregistered securities.

Is XRP’s price on track for a breakout?
The XRP token could be on track for a price breakout until the end of June, based on a key technical chart formation.

On the daily chart, XRP has formed a descending triangle, a chart pattern that could signal a potential price breakout as the wedges of the triangle narrow.

This can spark an XRP price rally if it can hold above the $0.47 support mark.

Tether halts USDT minting on Eos and Algorand

اترك تعليقاً