Ripple Price Analysis: XRP/USD Shoots Higher For Further Correction, Trump Administration Discuss XRP

  • Ripple has been in regular discussions with the Trump administration on XRP and other cryptos.
  • XRP/USD receives a strong bid on Monday, making another attempt at correcting the heavy drop. 

XRP Discussions with Trump Administration

Ripple’s chief marketing strategist Cory Johnson, in an interview, revealed Ripple has been discussing XRP with the Trump administration. He mentioned how the White House are conducting much research on cryptocurrencies. The Trump administration were also looking into the large amount of mining in China.

Cory Johnson said “There’s clearly a lot of homework going on. The White House in particular seems to be thinking about what it means to have 80% of bitcoin mining taking place in China. In addition to a majority of Ether mining taking place in China. When you look at XRP, there is no mining. From a foreign-control aspect or from an environmental aspect, XRP is a very different beast. And in conversations we’ve had with the administration, they seem to get that and think that might matter.”

The Ripple chief marketing strategist made it clear these discussions are not just a one off. They appear to be a regular occurrence, with the Trump administration. He said “we’re in regular talks throughout Washington, and we meet with regulators as well as politicians. We’ve got a whole team that’s devoted to doing that, not just in the U.S., but worldwide.”

SEC Awaited XRP Verdict

Ripple and its team have been working hard, given some of the external market pressures and trying to make it clear that Ripple and XRP are separate. In other words, they are keen to avoid being considered as a security, by the U.S. Securities and Exchange Commission (SEC).

Towards the end of the interview with Cory Johnson, he was questioned on whether the SEC were likely to give a verdict on XRP. He stated, “I think it’s possible the answer is never. I don’t know that the SEC wants to be in a position to have to comment on every single cryptocurrency or digital asset created and issue a ruling about it. I don’t know if they like what they did with bitcoin and Ether. “

Technical Review – 4-hour Chart View

XRP/USD 4-hour chart

XRP/USD has caught a strong bid on Monday. The price looking to make a decent recovery, following the heavy selling pressure seen last week on 11th October. XRP/USD had attempted an immediate response on 12th October, to the drop, however it was knocked back south. The bulls were initially driving the price higher, before running into sellers within the $0.4700 territory. It was also rejected by a descending line of resistance. This had been in play since 30th September, during a firm bear market. Under its dictation, XRP/USD was forced to fall over 39%, in each attempt to break above, sellers pilled in with some force.

Given the recent bullish momentum, eyes will be on to see how the psychological $0.5000 is dealt with. A key will be to see a daily close above.  The price was seen trading here on 8th October. Further north, there isn’t much in the way of reclaiming $0.6000 territory. However, worth noting the heavy supply zone which is seen tracking from $0.6000-0.6300. The price having faltered here on 21-22 September and 30th September. In terms of support, this is eyed back above the broken descending trend line, sitting at $0.4000. Further south, the low area between 11-12 October, $0.3780.

Disclaimer: The author owns bitcoin, Ethereum and other cryptocurrencies. He holds investment positions in the coins, but does not engage in short-term or day-trading.

Featured image courtesy of Shutterstock.

Ken has over 8 years exposure to the financial markets. During a large part of his career, he worked as an analyst, covering a variety of asset classes; forex, fixed income, commodities, equities and cryptocurrencies. Ken has gone on to become a regular contributor across several large news and analysis outlets.