Should I still buy Ripple (XRP) after a 100% move higher?

Ripple (XRP) price has moved about 100% higher in the past few days to surpass the $1 mark for the first time in over 3 years. 

Fundamental analysis: Ripple could continue without XRP

Ripple CEO Brad Garlinghouse said Ripple could continue operating without XRP if necessary. Garlinghouse argued that his company is ready to move on without its XRP settlement platform if it loses the lawsuit against the U.S. Securities and Exchange Commission (SEC) which claims that XRP is a security and not a currency.

Garlinghouse considers the lawsuit “ironic” given that it is predicated on assumptions that Ripple illegally sold XRP as an unregistered security. However, the SEC said in the end, the court will have a final say on XRP’s status. Garlinghouse also said he hopes the SEC will review the lawsuit once Gary Gensler becomes the new chair of the agency.  

XRP price exploded higher on Monday on rising optimism that Ripple may win its lawsuit against the SEC. Attorney Jeremy Hogan voiced his optimism on Twitter numerous times, which then translated into a strong and rapid move higher for the XRP.

Technical analysis: Huge short squeeze

The move higher in XRP started on Monday when the price action exploded 43.7% in one of the biggest short squeezes in the crypto world recently. The embattled digital asset then continued trading in a volatile manner on Tuesday before closing the day about 20% higher. 

Yesterday’s high of $1.11 is the highest XRP price traded since February 2018. The price action is now retracing on profit-taking to find support around the $0.95 mark. The next major target higher for investors seeking to buy XRP is the 161.8% Fibonacci extension line above the $1.17 mark, a move that is likely given the strong upward momentum.

Summary

Ripple CEO Brad Garlinghouse said his company is ready to move on regardless of the outcome of its legal battle against the SEC. XRP price soared about 100% in the meantime on rising optimism that Ripple is likely to win its lawsuit against the SEC.