XRP Faces Market Pressure Below $0.50 Amid SEC Case Uncertainty

XRP's price has been under pressure, dropping by 2.65% on Tuesday, June 18, to end the session at $0.4914. This decline follows a 3.19% rally from the previous day, driven by market speculation surrounding the SEC vs. Ripple case and potential Fed rate path changes. The absence of new developments in the SEC case likely tempered investor hopes for a settlement, impacting buyer demand for XRP.

On Wednesday, June 19, XRP is trading at $0.495, struggling to gain bullish momentum above the $0.50 mark. Ripple's price hit resistance at $0.515, its 50-day Exponential Moving Average (EMA), on Monday and fell by 3%. Breaking above this resistance could push XRP to rise by 7% from $0.499 to $0.532, the previous high from June 5.

Technical Indicators Suggest Mixed Sentiment

XRP's price extended losses before finding support near the $0.4765 zone. The price trades just above $0.4850 and the 100-hourly Simple Moving Average (SMA). On the hourly chart of the XRP/USD pair, a critical bearish trend line is forming with resistance at $0.4980. The pair could increase significantly if it settles above the $0.50 resistance zone.

The bulls were active near the $0.4765 level, correcting losses and pushing the price above the $0.4850 and $0.4900 resistance levels. The price is now trading above $0.4850 and the 100-hourly SMA. On the upside, the price faces resistance near the $0.4980 level and the $0.5104 swing high. A close above the $0.5020 resistance zone could send the price higher. The next key resistance is near $0.5200, and a clear move above this level could lead to a steady increase toward the $0.5320 resistance. Any more gains might push the price toward the $0.5500 resistance.

If XRP fails to clear the $0.4980 resistance zone, another decline could start. Initial support on the downside is near the $0.490 level and the 100-hourly SMA. The next significant support is at $0.4850. The price might gain bearish momentum if there is a downside break and a close below the $0.4850 level. In this case, the price could even trade below the $0.4765 low in the near term.

Whale Activity and Market Sentiment

XRP has seen significant whale activity, with 64 million coins transferred between exchanges. This activity has resulted in mixed market sentiment, with buying and selling pressure evident. Whale Alert reported 32.57 million XRP dumped to Bitstamp and 31.60 million XRP accumulated via Binance. This movement has caused speculation about XRP's potential to reach the $1 mark.

The token’s 24-hour lows and highs are $0.4773 and $0.5078, respectively. Market sentiment shifted following the U.S. SEC's announcement to lower its proposed settlement offer from $2 billion to $102.6 million, increasing investor interest. XRP's open interest (OI) in futures markets has also seen a spike, indicating ongoing optimism.

Despite the recent decline, XRP's price is consolidating near the $0.5 support level. The RSI remains in neutral territory at 45, painting an uncertain picture of XRP's potential to hit $1. However, continued buying pressure could propel a price rally. Renowned analysts had anticipated XRP to reach $1 in April, but sluggish price action has delayed this target. Investors and market enthusiasts watch XRP closely for further price action shifts.