Ripple (XRP) declined to $0.52 on Thursday, erasing all gains registered earlier this week. Ripple Senior Vice President (SVP) Eric van Miltenburg’s comments on the firm’s stablecoin, and how it is expected to benefit the XRP Ledger and native token XRP have raised concerns among crypto experts.
XRP price has been declining since Tuesday, following Ripple’s response filing to the SEC’s request for $2 billion in penalties.
The XRP question
A rare question from me @JoelKatz
Can you help me to understand?
Eric Van Miltenburg, (Ripple SVP) in the Digital Frontiers article interview, explained for some of the payment corridors (s) within its network, Ripple has been using stablecoins.
ok, but…
He also said the… pic.twitter.com/BrgZkyc7Xd— Crypto Eri Carpe Diem (@sentosumosaba) April 25, 2024
You ought to be concerned. Those saying it does’t matter because XRP itself has clarity are underestimating the adverse consequences for XRP and the XRPL ecosystem of a broad permanent injunction that stops Ripple’s ODL or stops use of XRP in ODL. https://t.co/kyjthFkzcq
— bill morgan (@Belisarius2020) April 25, 2024
XRP is changing hands at $0.5271 on Thursday as traders note inaction in BTC/USDT pair. Five days after the BTC halving event, the asset failed to cross the $67,000 level four days in a row. Bitcoin price trend influences large market capitalization altcoins like XRP.
The XRP/USDT pair pares its weekly gains, down from Monday’s close of $0.55, to $0.52, at the time of writing. Despite the correction, XRP price is nearly 25% higher than the YTD low set earlier in April, $0.4188 (April 13).
If XRP price gains acceptance above the 50% Fibonacci retracement level at $0.5310, plotted from the April 9-13 downfall, it could climb towards next resistance at $0.60. This marks a psychologically important level for XRP traders.
The Moving Average Convergence Divergence (MACD) indicator is in the positive territory, supporting the positive momentum in XRP’s uptrend. Additionally, the crossover above the signal line is a bullish sign for XRP price.
XRP/USDT 1-day chart
On the flip side, the April 21 low at $0.5183 has established itself as key support this week. A close below this level could invalidate the bullish thesis for XRP.