According to Cointelegraph, Ripple Labs' recent application for a U.S. banking license has generated significant interest in the cryptocurrency market, particularly concerning the potential impact on XRP's price. Ripple Labs CEO Brad Garlinghouse announced on X that the company is seeking a national bank charter from the Office of the Comptroller of the Currency (OCC). Garlinghouse emphasized that if approved, the license would place Ripple under both federal and state oversight, establishing a new benchmark for trust in the stablecoin market.
The announcement has led to speculation about XRP's price trajectory, with analysts considering whether the cryptocurrency could break through its current resistance levels. On Wednesday, XRP rebounded from the 20-day exponential moving average of $2.19 and surpassed the 50-day simple moving average of $2.23, indicating bullish momentum. The XRP/USDT pair is projected to rise to $2.34, a level expected to present a significant challenge. Should the price decline from $2.34 and fall below the 20-day EMA, it would suggest that bearish forces are active, potentially keeping the pair within the $2.34 to $2 range for some time.
Conversely, if XRP manages to surpass the $2.34 mark, it could pave the way for a rally towards the overhead resistance of $2.65. Sellers are anticipated to vigorously defend the $2.65 level, as a breakthrough could initiate a new upward movement towards $3. The XRP/USDT pair has also formed a bullish inverse head-and-shoulders pattern, which would be confirmed upon a break and close above the neckline. Success in this regard could propel the pair to $2.42 and subsequently to the pattern target of $2.76.
However, this optimistic outlook could be invalidated if the price reverses from the neckline and falls below the $2.14 support level, increasing the risk of a decline to $2.07. As always, investors are advised to conduct their own research and exercise caution, as all trading and investment decisions carry inherent risks.
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