Why is #XRP price up today?

XRP’s rally today could be short-lived, as a bearish reversal pattern hints at a potential 20%-plus correction ahead.

Ripple donates $5M in XRP to Trump’s inauguration/

XRP’s price jumped by over 20% in the last 24 hours to reach $2.36 on Dec. 21. The price rally came after crypto exchanges Coinbase and Kraken reportedly donated $1 million to Trump’s inaugural committee.

Fox Business broke the news first, with its report mentioning that Ripple will likely donate $5 million in XRP for the same event. Last week, The New York Times cited Ripple CEO Brad Garlinghouse suggesting the same.

Coinbase, Kraken, and Ripple are all battling the US Securities and Exchange Commission (SEC) in separate lawsuits. Trump’s reelection has boosted the odds of a friendlier SEC under the leadership of his nominee Paul Atkins, known for his pro-crypto stance.

XRP holders may perceive this as a step toward resolving Ripple’s ongoing legal battle with the SEC, leading to its price gains today.

Applying the same principle on the XRP/USD chart brings its downside target for December to around $1.77, down 22.50% from the current price levels. This price target aligns with the 50-day EMA (the red wave).

Conversely, a breakout above the triangle’s upper trendline may invalidate the bearish setup, setting the XRP price on the path toward $2.90, its December high.