XRP Hits Two-Month Price High in Wake of Ether Rally

XRP has completely recouped its losses resulting from the SEC's lawsuit against Ripple Labs late last year.

AccessTimeIconApr 5, 2021 at 10:59 a.m. UTC
Updated Sep 14, 2021 at 12:35 p.m. UTC
10 Years of Decentralizing the Future
May 29-31, 2024 - Austin, TexasThe biggest and most established global event for everything crypto, blockchain and Web3.Register Now

XRP, the cryptocurrency used in Ripple Labs' payments network, is rallying on the coattails of altcoin leader ether's recent move to record highs. 

XRP rose to $0.72 early Monday to hit the highest level since Feb. 2 and was last seen changing hands near $0.70. The third-largest cryptocurrency by market value has gained 18% in the past 24 hours, according to CoinDesk 20 data.

The price rise comes three days after the Ethereum blockchain's ether token set new lifetime highs near $2,100. Since then, the second-largest coin has established a foothold above $2,000, helping XRP and few other alternative cryptocurrencies such as tron, stellar, orchid, bitcoin cash, and eos score gains amid the dull action in bitcoin – the crypto market leader. 

"We're not seeing anything specific to XRP and the move feels more like an altcoin season type move given outperformance in other tokens as well," Joel Kruger, currency strategist at LMAX Digital, told CoinDesk. Names like TRON and siacoin "are performing even better than XRP on this more thinly traded Easter holiday Monday."

With a move to two-month highs, XRP has now completely reversed losses suffered in December after the U.S. Securities and Exchange Commission (SEC) filed a case against Ripple for raising $1.3 billion by selling XRP in unregistered securities offerings. 

Ripple executives' attorney James K Filan tweeted on Saturday that Ripple and the SEC have reached an agreement to keep the payment company's two of the four private email correspondences from being scrutinized under the ongoing lawsuit. So far, analysts are not sure if that's powering XRP higher. 

However, according to chart studies, the cryptocurrency's prospects look bright, one analyst said. 

"XRP has formed an inverse 'head and shoulder' pattern with head at 20 cents and shoulders at 40 cents, and neckline resistance passing through 70 cents," Delta Exchange CEO Pankaj Balani told CoinDesk. 

XRP's daily chart
XRP's daily chart

Balani foresees XRP rallying to $1.00 and possibly $1.30 on a breakout above the neckline resistance. 

"The pattern has formed over the six months; therefore, in case of a breakout, the bullish move is expected to be quick and sustainable," Balani said in a WhatsApp chat, adding that volatility is likely to remain high due to the SEC lawsuit. 

Disclosure

Please note that our privacy policy, terms of use, cookies, and do not sell my personal information has been updated.

CoinDesk is an award-winning media outlet that covers the cryptocurrency industry. Its journalists abide by a strict set of editorial policies. In November 2023, CoinDesk was acquired by the Bullish group, owner of Bullish, a regulated, digital assets exchange. The Bullish group is majority-owned by Block.one; both companies have interests in a variety of blockchain and digital asset businesses and significant holdings of digital assets, including bitcoin. CoinDesk operates as an independent subsidiary with an editorial committee to protect journalistic independence. CoinDesk employees, including journalists, may receive options in the Bullish group as part of their compensation.


Learn more about Consensus 2024, CoinDesk's longest-running and most influential event that brings together all sides of crypto, blockchain and Web3. Head to consensus.coindesk.com to register and buy your pass now.



Read more about