News about a significant XRP price breakout has renewed optimism within the cryptocurrency market. The Bitcoin rally is cooling, with the price of BTC falling from the $93,000 all-time high to $88,000. The news comes when there’s chatter about the possibility of the SEC chair’s resignation.
Rumours about a possible SEC chair resignation erupted after the current Securities and Exchange Commission head, Gary Gensler, hinted at it when he addressed the Practicing Law Institute on numerous asset classes, including cryptocurrencies.
Gensler Sticks to His Guns
The ongoing XRP price breakout that followed the event proves that crypto traders reacted positively to the chatter, with XRP attaining a 2024 all-time high of $0.8478. The highest figure since the last one achieved in July 2023 came soon after the SEC vs. Ripple case ruling that XRP was not a security.
In his speech, Gensler underscored his predecessor Jay Clayton’s anti-crypto sentiments, stating that Clayton initiated numerous legal suits against crypto firms, including Ripple Labs. Despite the earlier ruling by the Federal court in July last year, Gensler still stuck to his guns, holding that apart from Bitcoin, all other cryptocurrencies are securities. He added that he was “proud to serve with … colleagues at the SEC who, day in and day out, work to protect American families on the highways of finance.”
XRP Price Breakout Predicts Better Days
The XRP price breakout saw the asset held firmly above the $0.620 level for a while from a base before strongly pushing above the $0.7000 level. As a result, XRP relatively outperformed Bitcoin and Ethereum in trading on Thursday, surpassing the $0.740 resistance level. The bulls took charge immediately after that, and the asset was briefly pushed above the $0.850 level before the bears spoiled the party. The brief XRP price breakout saw the digital asset test the 61.8% Fib retracement level before swinging to an all-time high of $0.8989, as experts predict that $1.000 was the next target.
At the time of writing, XRP displayed a bullish trend surrounding the $0.740 support level on the hourly XRP/USD hourly chart, with the trend line again getting close to the 76.4% Fib retracement level. Crypto market analysts see an upside in this trend, stating that the next resistance level could be near $0.8450, with the first significant resistance being around the $0.9990 level. According to other analysts, the resistance level following the latest XRP price breakout should be around $0.900, which could send the asset price towards the $0.9250 resistance as it surges towards $1.00.
Bitcoin Rally Cools but Market Still Hopeful
As the XRP price breakout dominated the market, the Bitcoin rally dipped slightly during Thursday’s trading, sliding as much as 4% after several days of tremendous growth. Analysts believe the Bitcoin price dip was a reaction to the FED chair Jerome Powell’s sentiments in his latest speech that poured cold water on the anticipation of swift rate cuts. While speaking at a Dallas conference, Jerome said there weren’t sufficient signals from the economy on the need to lower the rate, adding, “The strength we are currently seeing in the economy gives us the ability to approach our decisions carefully.”
While Jerome’s remarks may have affected the bullish market sentiment that saw Bitcoin fall from $93,000 to $88,000 during Thursday’s trading, the XRP price breakout kept hope alive within the broader crypto market. Notwithstanding the Bitcoin price dip, QCP Capital has stated that Trump’s election win is poised to strengthen Bitcoin further, and the anticipation of a crypto-friendly regulatory environment means that “$100,000 – $120,000 may not be too far off.”
Conclusion
Besides sparking the XRP price breakout, rumours that the SEC chair’s resignation could be in the works have increased speculation about the potential withdrawal of the SEC vs Ripple case appeal. The SEC is expected to file an appeal-related brief by January 20, 2025, meaning there’s an open window for withdrawing the appeal before Inauguration Day. President-elect Donald Trump pledged to fire Gary Gensler on his first day in office, and his resignation would clear the way for Trump to appoint a crypto-friendly SEC chair.
