After failing to defend the support level of around 62 cents last month, Ripple Labs-backed XRP price has suffered immense bearish pressure in the past few days. The large-cap altcoin, with a fully diluted valuation (FDV) of about $52 billion, attempted to rally above the resistance level of around 58 cents on Monday in vain.
As a result, it is safe to assume that the XRP price is falling, which could push the altcoin below 50 cents soon. Moreover, the XRP price has closed below the crucial weekly rising Logarithmic support level in the past five weeks.
What is Needed to Rejuvenate XRP Bulls
For the XRP price to establish a rising trend and avoid falling into the category of zombie coins, the altcoin must consistently close above the weekly 50 Moving Average (MA). Furthermore, the altcoin could easily drop toward the support level of around 42 cents in the coming weeks if the bulls fail to establish control.
As an obvious point, Ripple must win its case against the United States Securities and Exchange Commission (SEC).
On Tuesday, the US SEC filed its remedies reply brief and supporting exhibits under seal. Additionally, Ripple filed its redacted remedies, reply brief, and supporting exhibits on entry to final judgment.
What Next
Ripple Labs has vigorously defended XRP in the courts of law against the SEC’s regulation by enforcement. With the US Congress attempting to create clear crypto and stablecoins regulations, XRPL developers are optimistic about a better future.
Furthermore, Ripple recently launched XRPL’s automated market maker (AMM) and anticipates unveiling its fiat-backed stablecoins later this year.
Nonetheless, Ripple must evolve XRPL to become a major Web3 hub like Solana (SOL) and Ethereum (ETH) or risk being outshone even by meme coins like Dogecoin (DOGE) and Shiba Inu (SHIB).
