XRP, the native token of the XRP Ledger, might experience a surge from its current price level around $0.53 following significant developments in the cryptocurrency space. This anticipation stems from recent legislative advancements in the United States, notably the passage of the Financial Innovation and Technology for the 21st Century Act (FIT21) by the US House of Representatives.
FIT21 aims to establish a regulatory framework for the cryptocurrency market in the US, offering consumer protections and designating the Commodity Futures Trading Commission (CFTC) as the primary regulator for digital assets.
Additionally, the bill seeks to clarify the classification of cryptocurrencies as either securities or commodities.
Supported by various entities within the cryptocurrency industry, FIT21 has received endorsements from major players like the Crypto Council for Innovation, which includes Coinbase, Kraken, Andreessen Horowitz, and the Digital Currency Group, among others.
Utilizing technical analysis tools such as Fibonacci Time Zones and Elliott Wave Theory, analysts predict a substantial price increase for XRP before July, citing the recent legislative developments and the potential entrance of institutional investors via spot exchange-traded funds as contributing factors.
Furthermore, the analyst suggests that Ripple's legal dispute with the U.S. Securities and Exchange Commission (SEC) may soon come to a resolution. This legal battle began when the SEC accused Ripple of conducting an unregistered digital asset securities offering, alleging that the company raised over $1.3 billion.
Earlier assessments by the analyst also hinted at XRP's price potentially surging to $18, based on the identification of a bullish flag pattern on the XRP/USD chart. This pattern, characterized by a sharp price increase followed by consolidation, has been observed across multiple timeframes, indicating the possibility of an impending breakout.
May 2024, Cryptoniteuae