Ripple price triangle pattern points to an XRP breakout
- The Ripple price has been in a tight range lately.
- It has formed a triangle pattern on the daily chart.
- Focus is still on the Ripple vs SEC case.
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The Ripple (XRP/USD) price has been in a tight range recently as investors watch the proceedings about the SEC case. It is trading at $0.7617, where it has been in the past few days. This price is about 40% above its lowest level this year and 46% below 2021 high.
Ripple vs SEC case update
The main catalyst for the Ripple price is the ongoing SEC case, which analysts believe that will be finalized in April this year.
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The latest update is that the judge overseeing the case delivered a “huge win” for Ripple. In a statement, Stuart Alderoty, a lawyer representing the company said that the judge said that there was a serious question about whether the SEC provided Ripple with a fair notice about the fundraising.
The SEC has accused Ripple of raising billions of dollars in 2013 without following the law. Ripple has said that it followed the law and accused the SEC of not giving it a fair warning as the fundraising was going on.
In the past few months, the judge overseeing the case has delivered some rulings in favor of Ripple. For example, it allowed the company to dig deeper into communications among the SEC to demonstrate their views about Ethereum. Still, the SEC has also won some parts of the case such as when it was allowed to expand its discovery.
Analysts believe that the Ripple price will do well after the lawsuit concludes. For one, the worst-case scenario, if Ripple loses, is probably paying a big fine and barring the two executives from serving. In the stock market, such an outcome is usually welcomed by investors.
The next key catalyst for the XRP price will be the upcoming decision by the Federal Reserve. Analysts expect that the bank will start hiking interest rates this week.
Ripple price forecast
The daily chart shows that the XRP price has been in a tight range in the past few days. The coin is trading at $0.7617, where it has been lately. As a result, it has formed a symmetrical triangle pattern that is shown in black.
It is also oscillating along the 25-day and 50-day moving averages while the Average True Range (ATR) has been in a downward trend. Therefore, with the triangle pattern nearing its confluence level, there is a likelihood that a bullish or bearish breakout will soon happen.