Should I still buy Ripple (XRP) after a 100% move higher?
- Ripple CEO Brad Garlinghouse said Ripple could continue operating without XRP if necessary
- XRP price exploded higher on Monday on rising optimism that Ripple will win a SEC lawsuit
- XRP price hit a 3-year high at $1.11 after it gained around 100% in recent days
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.
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“We could do that. We’ve always thought about our product as ‘How do we solve a customer’s problem first and foremost?’ And I think that has served our growth. It’s a reason why we have seen so much activity now, billions and billions of dollars of transactions across Ripplenet, our network for payments,” said Garlinghouse.
“The good news for Ripple we’ve signed over 20 new financial institutions around the world as customers since the SEC filed their lawsuit and I think we’re going to see the network grow very rapidly in non-US customers,” he added, emphasizing that Ripple will continue to enter new partnerships around the world regardless of its legal battle against the SEC.
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.
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.