5 Key Reasons To Not Sell XRP Tokens

XRP price has dropped nearly 30% since the December 17 swing high. Although this crash has caused panic and billions in liquidations, selling XRP tokens here is not a great idea. In this CoinGape article, we explore five key reasons or events which could propel Ripple (XRP) much higher.

XRP Price: 5 Key Reasons To Not Sell XRP Tokens

Although XRP price has shot up more than. 500% in 2024, its upside potential is not capped yet. Here are five key events that are yet to unfold that could have a massive positive impact ont the value of XRP and potentially catlayze another uptrend.

Trump Inauguration: Trump wining the US elections on November 5 was a key trigger that kickstart the crypto bull market. Some believe that Trump January 20, 2025 inauguration event could lead to an even bigger rally. The reason for this is the expectation of a more crypto-friendly regulatory environment that could benefit XRP and the broader crypto markets. Additionally, Trump’s pre-election statements on cryptocurrencies are positive. This could lead to help with XRP’s adoption and propel its price higher.

Gary Gensler is out of SEC: Gary Gensler, the SEC chairman filed the lawsuit on Ripple at the end of 2020 and a dozen other crypto-related suits, has been considered an enemy to the cryptocurrency ecosystem. Hence, the departure of Gary Gensler, a perceived crypto skeptic, from the SEC will reform the image of this regulatory body and lead to a shift in regulatory tone that favors cryptocurrencies. This development could be one key factor that boosts XRP price.

SEC Lawsuit Settlement: Although the long-running battle between the SEC and Ripple came to a conclusion, it isn’t settled yet. Hence, a firm settlement could bring much-needed clarity and certainty to XRP’s regulatory status, leading to a rally in Ripple price.

Alt Season Begins: As mentioned in previous CoinGape articles, an altcoin season could kickstart after the recent crash and extend all the way up to January 2025. Hence, capital rotation out of Bitcoin and into altcoins, including XRP, could see a huge uptrend.

XRP ETF is Approved: Bloomberg analysts have already suggested that the XRP and Solana ETF could be next. Considering that Bitcoin saw such a massive uptrend after spot ETF approval, XRP could mirror this trend considering the demand. Moreover, the approval of an XRP ETF would provide institutions and safe way to invest in XRP. Hence, this event could lead to massive rally for XRP price.

XRP Technical Analysis: Ripple Has A Long Way to Go

Tony Severino, a certified analyst, posted on X, that he is “potentially not bullish enough on XRP.” According to Severion, XRP’s “three-month candlestick is above the Bollinger Band basis for the first time since April 2019”, reflecting volatility. A buy signal would emerge if the quarterly candlestick manages to push its above the “the upper Band” and closer there. Sevenrio also note that the Bollinger Bands “have been the tightest in XRPBTC history,” which is a signal that precedes volatile moves.

To further support his bullish outlook, the analyst notes that the three-month Relative Strength Index (RSI) has crossed above the RSI-based moving average and rising toward the 50 mean level. If the three-month RSI manages to climb above  50, it would suggest a spike a bullish momentum, aka “increasing strength”.

The third bullish indicator, according to Severiono, is the Fisher Transform that is “flipping bullish with a multi-year bullish divergence.” The certified analyst adds that the three-month Logarithmic MACD depitcs a “weakening bearish momentum” and that it is ready to flip “bullish for the first time on the chart.”

All in all, the analyst remains wildly bullish on XRP price and expects it to continue its ascent. However, there are a few conditions that need to be met for Rippel to trend higher. This outlook is in line with the five reasons why you should not sell XRP here.

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Akash Girimath

Akash Girimath, an engineer by training, has developed a deep fascination with the complexities of cryptocurrency markets. As a senior reporter and analyst, he specializes in crypto analysis and contributes his expertise to notable platforms such as AMBCrypto and FXStreet. In addition to his analytical work, Akash actively trades cryptocurrencies and manages a small crypto fund for friends and family. His role involves providing insightful market analysis and keeping readers informed about the latest trends in the crypto world. Follow Him on Youtube , X and LInkedIn

Disclaimer: The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.