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XRP price forecast: bulls falter amid fresh bearish sentiment

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XRP Coin Logo
XRP Coin Logo
  • XRP price dropped to $1.35 as selling pressure resumed.
  • Bears have pushed Bitcoin back under $68k and altcoins are mirroring the decline.
  • Short-term, bearish sentiment could trigger a sell-off to $1 or lower.

XRP continues to face bearish pressure as the latest attempts to establish an upside momentum stall, with prices down 14% in the past week.

In early trading on Wednesday, the Ripple cryptocurrency fell to lows of $1.35, extending its pullback from recent highs following a retest of $1.53.

The waning upside momentum suggests a potential further downside for the altcoin, whose performance mirrors the renewed selling pressure currently throttling Bitcoin and Ethereum bulls.

As of writing, market metrics showed derivatives data largely bearish, with retail traders signalling their downbeat perspective through dwindling XRP futures Open Interest.

Massive liquidations, most of which have been lopsided against longs, add to the retail indecision.

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XRP price technical outlook

XRP’s struggles align with a cautious crypto environment. Bitcoin’s failure to hold above $70k means widespread selling that hasn’t spared top altcoins like XRP.

Technical indicators for XRP price, such as fading RSI, highlight potential weakness. If buyers fail to reclaim $1.50 and target $2.00, XRP risks testing key support levels near $1.22 and $1.13.

Conversely, breaking $2 might flip sentiment and allow bulls to target the $2.75 resistance level. The falling wedge pattern on the 4-hour chart signals such a breakout.

XRP Price Chart
XRP price 4-hour chart by TradingView

XRP price: likely bullish catalysts?

US XRP ETF demand has faded in recent weeks, while technical indicators highlight bears’ control.

Despite the gloom, several catalysts could spark a reversal for XRP holders.

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Regulatory developments, particularly ongoing efforts to pass the Clarity Act, could be a key driver of crypto market sentiment.

A spike in adoption amid further regulatory clarity will cascade to XRP.

Whale accumulation also continues to ramp up as large holders add to positions.

This shows conviction and has the short-term effect of stabilizing prices ahead of what analysts see as an inevitable broader market recovery.

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Stablecoin growth on the XRP Ledger adds another layer of utility, drawing institutional interest and increasing network activity.

DeFiLlama data shows that while DeFi TVL has declined, stablecoin market cap has jumped from around $331 million in early February to over $418 million as of writing.

Amid usage for XRPL, Ripple USD is also gaining traction.

Ripple has entered various partnerships aimed at tokenising traditional fund structures on the XRP Ledger, one of the moves set to accelerate growth.

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Meanwhile, spot exchange-traded fund inflows have cooled in recent weeks. However, cumulative net inflows have topped $1.2 billion, and could explode when sentiment flips.

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Crypto World

Pudgy Penguins Hit WIth Trademark Suit Over Merch

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Pudgy Penguins Hit WIth Trademark Suit Over Merch

PEI Licensing, the firm behind the clothing brand Original Penguin, has filed a lawsuit against the nonfungible token project Pudgy Penguins, alleging trademark infringement, dilution and unfair competition.

The lawsuit, filed in a Florida federal court on Wednesday, focused on claims around Pudgy Penguins’ apparel, accusing the company of using a “family of penguin trademarks that are confusingly similar” to its own.

“This action results from Defendant’s unauthorized use and attempted registration of various PENGUIN word and design trademarks in connection with apparel and related goods and services that are confusingly similar to PEI’s federally registered and famous PENGUIN and penguin design trademarks,” PEI said in its complaint.

An excerpt of PEI’s complaint comparing its Original Penguin brand to Pudgy Penguins’ merchandise. Source: CourtListener

PEI claimed in its lawsuit that it has used the “PENGUIN word mark at least as early as 1967” and first used a “penguin design” on apparel as early as 1956.

PEI Licensing said that it sent a cease and desist to Pudgy Penguins in October 2023, claiming its “products infringe and dilute PEI’s famous PENGUIN Marks.”

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The letter also demanded that Pudgy Penguins abandon applications with the US Patent and Trademark Office “to register various PENGUIN marks,” according to the lawsuit.

PEI claimed that Pudgy Penguins had “misappropriated valuable property rights of PEI,” which was “likely to cause confusion or mistake, or to deceive members of the consuming public.”

PEI asked the court to order the USPTO to reject Pudgy Penguins’ applications and stop the company from allegedly infringing on its trademark. 

Related: SEC ends case against Justin Sun with $10M settlement

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It also requested that Pudgy Penguins be ordered to destroy any products found “likely to be confused” with PEI’s trademarks and be awarded all profits from the sales of such products.

Pudgy Penguins’ legal chief, Jennifer McGlone, told Cointelegraph the company “was surprised by the action, particularly as both parties had been engaged in productive discussions to resolve this matter privately.”

McGlone said the company had advanced applications with the USPTO and was “confident that PEI’s claims lack merit. The trademarks in question are visually distinct and serve entirely different audiences and markets.”

“We have the utmost confidence that we will prevail as Pudgy Penguins has already secured multiple trademark application approvals from the USPTO covering the Pudgy Penguins brand and related marks,” she said.

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Meanwhile, the Pudgy Penguins X account posted a meme implying that its brand bears no similarities with Original Penguin.

Source: Pudgy Penguins

Magazine: Clarity Act risks repeat of Europe’s mistakes, crypto lawyer warns