Will Ripple (XRP) Price Break November Curse This Election Season?
NOIDA (CoinChapter.com) — XRP’s recent price action has remained more or less flat amid broader market fluctuations, with the Ripple token struggling to move above the $0.56 resistance. Meanwhile, XRP price performance during the election season could help increase the buying pressure for the token.
Historically, November has been a favorable month for XRP only five times since 2013, which could leave traders skeptical about the token’s mixed performance during this period. However, one of Nov’s strongest XRP price performances occurred in an election year, which could be the case again.
Could this election season finally break XRP price cycle in November?
U.S. Presidential Elections and XRP Price: Past to Present
The U.S. presidential elections have had varying impacts on XRP’s price performance, with distinct differences in 2016 and 2020. During the Nov. 2016 election, XRP’s price remained relatively stable, around $0.0056.
The muted response was likely due to XRP’s early adoption stage and limited market exposure at the time, making it less sensitive to political shifts.
Fast-forward to the 2020 election and XRP saw a dramatic shift. Trading around $0.24 before the election, XRP surged by over 178% to $0.65 within weeks after the results, riding a wave of optimism and broader market momentum.
XRP price rallied strongly following the 2020 elections. Will history repeat itself?
This rally, however, was short-lived (blue area). In December, the SEC filed a lawsuit against Ripple Labs, sparking widespread panic selling. XRP’s price plummeted but managed a resilient rebound, climbing to $1.75 by April 2021 as the token shook off initial fears and the market adjusted to the regulatory uncertainty.
The upcoming Nov. 2024 election brings both promise and potential impact, especially with candidates openly supporting cryptocurrency. The possibility of a new SEC chair—if Gary Gensler is replaced—has XRP traders speculating that a favorable regulatory shift could be on the horizon.
As pro-crypto policies take center stage, investors hope this election could finally provide a regulatory landscape that benefits XRP, breaking its November jinx and setting the stage for future growth.
Technical Setup Adds To Bullish Cues
Meanwhile, the XRP USD pair has formed a bullish technical setup called the ‘ascending triangle,’ which could help attract more buyers to the market.
XRP USD pair formed a bullish setup with an 88.5% upside target. Source: Tradingview
The pattern occurs when a horizontal resistance line connects swing highs while an ascending trendline links higher swing lows. This setup suggests increasing buying pressure as the price approaches the resistance level.
The significance of this pattern lies in the potential for a breakout. A surge in trading volume as the price nears the resistance level typically confirms the likelihood of a breakout above it.
The ascending triangle formation indicates that buyers are gaining strength, and a successful breakout could lead to further upward momentum for the XRP USD pair. This technical setup provides a clear framework for assessing potential price movements in the near term.
In technical analysis, the pattern’s price target is calculated by measuring its height and projecting it from the breakout point. For the XRP crypto coin, this calculation suggests a price target near $0.98, a spike of 88.5% from the current level.
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