Ripple unlocked 1 billion XRP tokens on October 1st amid mass unlocks across the crypto market. Solana and Arbitrum will unlock a total of $100 million worth of tokens in October. XRP remains steadily above the $0.5200 support and is struggling to return to the psychologically important $0.60 level.
Ripple (XRP) rose 2% on Friday. XRP continues to grow as a result of the U.S. Securities and Exchange Commission’s (SEC) appeal decision on the final ruling in the Ripple lawsuit, Ripple’s $1 billion token unlock on October 1st, and other token unlocks including Solana and Arbitrum this month. , has been affected by several market trends.
XRP is trading at $0.5328 on Friday, October 4th.
Daily Digest Market Movement: XRP may not be able to erase recent losses in October
Ripple executives have not yet decided whether the money transfer company will file an appeal. The company has 14 days from October 3, when the U.S. Securities and Exchange Commission (SEC) appeals the final ruling in the Ripple case. The SEC has appealed a ruling that fined Ripple $125 million for selling XRP tokens to institutions. Judge Analisa Torres upheld a July 2023 ruling that legally clarified XRP as a non-security for trading on crypto exchanges. In October, Solana (SOL) and Arbitrum (ARB) are set to unlock $74 million worth of SOL and $51 million worth of ARB tokens. Georgy Slavin-Rudakov, CMO of B2BINPAY, told FXStreet:
“Crypto markets in October will experience significant volatility due to several large token unlocks. ADA’s recent release of 18.53 million tokens has already created selling pressure. Other major unlocking services such as Solana (SOL) and Arbitrum (ARB) may be better equipped to absorb new supply due to their strong ecosystems. Meanwhile, Ripple’s ongoing legal battle with the SEC continues to shape the market outlook for XRP. This case will be key to influencing the future trajectory of XRP. , I am optimistic that we will eventually see a favorable outcome for the token, reaching $10-20 by the end of 2025 and possibly rising to $100-300 by 2030. ”
Ripple’s legal battle with the SEC remains a focus for XRP holders in October 2024. The company’s planned unlocking of 1 billion XRP affected Ripple holder sentiment this week. CryptoEQ.io’s Crypto Fear & Greed Index shows that sentiment among XRP traders was negative on Friday.
Technical analysis: XRP could correct by 10%
Ripple has been on a downward trend for over a year. The altcoin is between the upper bound of $0.6602 (the 50% Fibonacci retracement level of the decline from the July 2023 high of $0.9380 to the July 2024 low of $0.3823) and the lower bound of the fair value gap of $0.4780. It is within a range (between $0.4780 and $0.5136).
The Moving Average Convergence Divergence (MACD) indicator shows a red histogram bar below the neutral line, indicating potential negative momentum in the XRP price trend.
If XRP extends its decline, it could drop 9.9% and reach liquidity of $0.4780.
XRP/USDT daily chart
The bearish theory could be invalidated if the daily candlestick breaks above the psychologically important $0.6000 level. Thereafter, XRP will attempt to recover towards $0.6602.
