XRP Price Action Holds Near Resistance Ahead of June 16

Xrp price action has the token consolidating near a critical resistance zone ahead of June 16

XRP price has been consolidating in a tight range ahead of a crucial decision by the U.S. Securities and Exchange Commission (SEC) on June 16.

As the anticipation mounts, recent trading activity shows signs of whale accumulation, a narrowing volume, and technical indicators turning in favor of further upward momentum.

The Importance Of The $2.65 Resistance

According to cryptocurrency analyst Crypto Patel, a key resistance level to watch for XRP is at $2.65, which, if breached, could propel the token towards $3.00 and potentially beyond.

"The scene is set for a crucial decision by the SEC on June 16, which may decide the fate of XRP and the crypto market. If the ruling favors Ripple, it could act as a catalyst for XRP to break out of its consolidation and move towards new highs," the analyst stated in a recent X post.

"On the other hand, if the outcome is negative, we could see XRP price falling below $2, retesting the lower levels of the current market structure."

At the time of writing, XRP was trading at $2.31, slightly recovering from a recent decline. The token had been holding steadily above the $2 support, which is also a psychological level.

Technical Indicators Point Towards A Breakout

Further analysis by Dark Defender revealed that the Relative Strength Index (RSI) had bottomed out and was now turning up, indicating a shift in momentum in favor of the bulls.

"The price is also now positioned above the 8-, 13-, and 21-EMA, which are closely followed by technical traders," he added.

Moreover, Ichimoku Cloud signals were expected to shift bullish as the price moved above $2.33. This technical indicator is used to identify the trend, momentum, and support and resistance levels.

"If the daily candle closes above $2.33, we might see a rapid move toward $2.65, setting up for a potential breakout scenario."

However, if the price fails to hold above $2.33 and instead falls below $2.0, it could signal a reversal of the recent uptrend.

"With the SEC ruling looming and technical setups in place, the coming days will be crucial for the fate of XRP and the cryptocurrency market at large."