- Ripple announced the launch of its stablecoin Real USD, the acquisition of Standard Custody, and the introduction of an EVM sidechain, yet XRP remains stuck below $0.50.
- Despite these significant developments, XRP’s price struggles to break through resistance, currently trading at $0.4874.
Ripple’s Big Announcements Create Buzz but Fail to Move the Needle for XRP Price
Ripple has been making waves with three major announcements this week, but the market response has been tepid at best. Despite unveiling a new stablecoin, acquiring a prominent custodian, and launching an EVM sidechain, XRP remains stuck under the stubborn $0.50 resistance mark.
Stablecoin Launch: Real USD
At the XRP Ledger APEX 2024 event, Ripple announced the launch of its dollar-pegged stablecoin, Real USD (RLUSD). This stablecoin will be available on both the XRP Ledger and Ethereum in 2024. Ripple’s CEO, Brad Garlinghouse, emphasized the importance of stability in the crypto market, which he hopes Real USD will contribute to. While the announcement is significant, it hasn’t provided the necessary push to lift XRP’s price.
Acquisition of Standard Custody
The second major development was Ripple’s acquisition of Standard Custody, a digital asset custodian. This strategic move is expected to bolster Ripple’s stablecoin initiative and aid in the progress of real-world asset tokenization. The acquisition was completed on June 11, with Jack McDonald of Standard Custody set to join Ripple as the Senior Vice President of Stablecoins. McDonald expressed his excitement on Twitter, signaling his commitment to advancing Ripple’s stablecoin project.
XRPL EVM Sidechain
Ripple’s third announcement focused on the introduction of the XRP Ledger’s EVM sidechain, leveraging Axelar as the bridge protocol. This sidechain is designed to facilitate transfers between the XRP Ledger and Ethereum Virtual Machine (EVM) sidechains, opening new opportunities in decentralized finance (DeFi) and Real World Asset (RWA) tokenization for Ripple users.
XRP Price Analysis: The Struggle Continues
Despite these bullish announcements, XRP has failed to break past the $0.50 resistance. Currently trading at $0.4874, XRP remains range-bound, showing signs of potential further decline. Technical analysis indicates that XRP has been in a downward trend since March 12, with the Moving Average Convergence Divergence (MACD) showing red histogram bars below the neutral line.
If XRP continues on this path, it could drop to support at $0.4508, a low seen on June 7. However, if XRP manages to close above the $0.53 resistance on a daily candlestick, it could invalidate the bearish outlook and possibly rally towards the Fair Value Gap (FVG) between $0.5491 and $0.6029.
XRP holders are also closely watching developments in the ongoing Securities and Exchange Commission’s (SEC) lawsuit against Ripple, which continues to cast a shadow over the altcoin’s market performance.
While Ripple’s latest initiatives showcase its commitment to innovation and market expansion, the impact on XRP’s price remains muted. As the crypto market evolves, only time will tell if these strategic moves will eventually pay off for Ripple and its native token.
