Chart of the day

Where do we stand fundamentally?

The ongoing legal battle between Ripple and the SEC remains a focal point. There's speculation around a possible settlement or significant legal development, with some posts on X suggesting a meeting between Ripple and the SEC could lead to a case dismissal. This lawsuit has been ongoing for four years, with the community hopeful for a resolution that could pave the way for XRP's price surge.

Ripple, along with other crypto companies like Coinbase and Kraken, has donated to Donald Trump's inauguration fund. Ripple pledged $5 million in XRP, signaling the crypto industry's support for Trump's pro-crypto policies. This move is part of a broader $200 million donation wave, indicating high expectations for regulatory changes under Trump's administration.

Ripple has reached 3 and is pulling back from this level to retest a previously broken upside resistance zone of 1.90- 2. A pullback from that level marks the beginning of the second Elliot wave of the new upside five-wave cycle. My KNOWPO trading system indicates a good low-risk short trade here, so I expect a reversal downside to exploit the advantage of a pullback before a continuation higher.

A break above 2.50 again will invalidate the downside reversal and lead to an extension higher. A break below 1.98 will accelerate the downside reversal.

_{You can take a short trade entry with a stop loss above 2.60 to target 1.14.}