XRP Declines 2% Amid Profit-Taking After Ripple-SEC Settlement
Technical Analysis Overview
XRP declined 2% from $3.19 to $3.14 on August 12 after reaching an intraday high of $3.32. The drop followed a period of gains driven by regulatory clarity, with significant selling pressure noted at 19:00, where prices fell from $3.20 to $3.15 on a volume of 73.87 million.
Support is established at $3.13 from previous tests, while resistance forms at $3.27. Late trading saw a slight recovery to $3.14, supported by volume spikes of 3.21M and 4.45M.
News Background
Ripple Labs and the SEC have concluded their five-year legal dispute over XRP, dismissing appeals. This settlement has lifted compliance concerns, encouraging institutional involvement. Daily trading volumes surged 208% to $12.4B post-announcement.
Despite this progress, crypto sentiment remains affected by macroeconomic factors like trade disputes and monetary policy changes.
Price Action Summary
- XRP fell from $3.19 to $3.14 in the August 11 01:00–August 12 00:00 period
- Intraday peak of $3.32 faced strong resistance, leading to selloff
- 19:00 recorded a drop from $3.20 to $3.15 on highest volume of 73.87M
- Confirmed support at $3.13; resistance set at $3.27
Market Analysis and Economic Factors
The decline reflects profit-taking following XRP's rally. Large holders are rebalancing positions but continue to place bids around $3.13-$3.15, indicating sustained long-term sentiment. Macro uncertainties influence market flows, but XRP benefits from improved regulatory clarity compared to peers.
Technical Indicators Analysis
- Support at $3.13 (backed by volume tests)
- Resistance between $3.27 and $3.32 (frequent rejections)
- Intraday range shows $0.19 (6% volatility)
- High volume at 19:00 indicates potential institutional selling
- Accumulation in late sessions maintains price above $3.13
What Traders Are Watching
- Breakout potential above $3.27 for renewed upward movement
- Stability of $3.13 support during profit-taking phases
- Continuing institutional inflows post-settlement
- Impact of macroeconomic developments on the crypto market