Story Highlights

• XRP struggles to gain momentum despite SEC lawsuit dismissal.

• Investors disappointed as XRP fails to break key resistance.

• Analysts say XRP must break $3 to trigger a rally.

XRP recently achieved a significant legal victory when the U.S. Securities and Exchange Commission (SEC) dropped its lawsuit against Ripple. Market investors were anticipating that this progress would initiate a huge price growth. XRP has faced challenges which led to its inability to advance beyond its current market position. Traders remain in the dark about the cryptocurrency’s future direction because its price remains confined within a narrow range despite the positive news.

XRP Struggles Despite Legal Victory and ETF Speculation

The market waited for several years while XRP underwent legal disputes, yet hoped to see a breaking point for its price. Contrary to market expectations, the situation developed differently. According to CoinMarketCap data. XRP maintains the current price position above $2.12 and just dropped 12% in 48 hours, yet falls far short of its highest value at $3.40. The token attempted to cross its 2018 all-time high during January but did not achieve the breakthrough. The XRP price stayed in one position while investors faced disappointment from failed expectations of instant price growth.

XRP has gained several positive components during the most recent weeks of its operation. Lots of investors now focus on possible XRP spot exchange-traded fund (ETF) possibilities. Hashdex received approval from Brazil’s Securities and Exchange Commission (CVM) to develop the world’s first XRP ETF.

On the other hand, Ripple’s planned initial public offering (IPO) has generated strong interest from the crypto community. The political landscape showed signs of change after U.S. President Donald Trump revealed XRP as a potential asset for the country’s strategic crypto reserves. Numerous market participants question whether the price should not have shown positive growth under these given circumstances.

XRP Needs to Hold $2 and Break $3 for Rally

The technical framework seems to provide an explanation for this situation. According to crypto analyst Ali Martinez, the market will adopt a positive sentiment when XRP rises above the $3 target. The potential price rise could make the present head-and-shoulders pattern meaningless, thus creating positive market expectancies. The price dropping to $2 introduces increased dangers for additional market depreciation. XRP exists at a critical stage where market traders focus intently on principal support and resistance boundaries.

Furthermore, XRP’s slow price strain occurs because major investor interest has decreased. The market used to see significant investment activity from big players known as whales immediately after important events, including U.S. elections. Retail traders now control market activity since large investors have withdrawn from the space during recent weeks. XRP trades at substantially reduced levels because investors currently show minimal inclination to take big risks in this market period.

The sluggish growth of XRP stems from two principal elements and broader market circumstances. The cryptocurrency market remains unstable because of increasing price inflation, market rate volatility, and global political tensions. Most potential investors maintain a protective stance due to ongoing market instability as they choose to postpone major financial decisions. Strong fundamental developments alone have failed to raise XRP’s price higher because of uncertain market conditions.

For XRP to experience a new bull run, it needs to maintain itself above $2 and exceed $3 resistance levels. Only then can investors expect renewed confidence in its upward potential. Until that happens, the market remains in a state of cautious anticipation.

The post XRP Bull Run on Pause: This Could Trigger a New Rally appeared first on Live Bitcoin News.