XRP Soars 13% After SEC Drops Lawsuit, Technicals Bullish

XRP has surged following the official dismissal of the lawsuit against Ripple by the SEC, resulting in a 13% price increase over the past 24 hours. This rally is supported by strong technical signals and growing market participation. The network activity of XRP has also reached record levels, with active addresses soaring to new highs. As traders digest the legal victory and positive market signals, XRP's outlook is strengthening, increasing the chances of further upside in the near term.

XRP’s Directional Movement Index (DMI) chart reveals a notable shift in momentum, with its Average Directional Index (ADX) rising to 20.4 from 15.64 following the news of the SEC dropping its lawsuit against Ripple. This increase signals a strengthening market trend, as the ADX tracks the overall strength of a trend without specifying its direction. The recent surge suggests that the price action is gaining conviction, especially as the market digests the positive legal developments surrounding Ripple.

In XRP’s case, the +DI has jumped from 18.3 to 39, while the -DI has dropped from 19.63 to 12.97, indicating a clear bullish divergence. This sharp rise in buying strength (+DI) combined with a weakening bearish signal (-DI) supports the idea that XRP is attempting to maintain and possibly extend its uptrend. If this dynamic continues, it could see further upside in the short term as bullish momentum builds.

XRP’s network activity has been surging, with the number of 7-day Active Addresses reaching an all-time high of 1.19 million. This is a massive increase from the 237,000 recorded on February 27, marking an almost fivefold rise in just a few weeks. The spike in active addresses signals that XRP’s blockchain is seeing heightened participation, whether from retail traders, institutional players, or speculative interest. Such elevated levels of activity are rarely seen and could indicate growing attention and usage of the network.

Tracking the number of active addresses is crucial as it offers insight into the level of user engagement and real demand on the blockchain. Generally, an increase in active addresses can suggest that more participants are transacting or interacting with the network, which often correlates with stronger liquidity and potentially higher price volatility. In XRP’s case, this record-breaking surge in activity could act as a bullish signal, hinting at growing interest and possibly renewed capital inflows. While it doesn’t guarantee immediate price appreciation, such strong network participation could help support XRP’s price and reduce downside risk, especially if coupled with other bullish technical or fundamental factors.

XRP’s EMA lines are currently pointing to a potential new golden cross forming soon. Should this scenario unfold, XRP price may first challenge the resistance at $2.648. If buying momentum strengthens further, the price might push toward $2.99, potentially breaking above the barrier at $3. Conversely, a renewed downtrend could take shape if the bullish momentum fails to materialize and XRP’s price struggles to hold above its current range. In this case, the key support level at $2.47 would become clear. A breakdown below this threshold could expose XRP to further downside risk, testing $2.21 and possibly driving it down to as low as $1.90.