The political developments in the USA this week have led to the removal of a significant obstacle on XRP. The Senate Banking Committee approved the Digital Asset Market Clarity Act (CLARITY Act), which was prepared to eliminate uncertainty for crypto asset markets. It is now expected that the law will pass the full Senate and become official; While this will clarify the legal status of XRP, it will also make the US dollar-backed RLUSD stablecoin legal.
Critical law starts a new era for RLUSD
With the CLARITY Act, the rules regarding the issuance of dollar-based tokens will be clarified. Under the legislation, offering passive income to investors will likely be banned, but transaction-based incentives will remain legal. In this context, it paves the way for Ripple to use the RLUSD stablecoin on a larger scale in cross-border payments. As it is known, Ripple uses $XRP as a bridge asset, especially in international money transfers.
Until now, there have been serious regulatory risks to large banks using RLUSD. However, with recent developments, the pilot project in which Ripple, in partnership with JPMorgan and Mastercard, tested tokenized US Treasury bonds as a means of payment on the XRPL network has increased optimism among investors.
XRP price is pushing critical levels
All these fundamental innovations had a decisive impact on the price chart of XRP. Although the cryptocurrency has exhibited intense horizontal movement recently, the price has directly approached the psychological resistance point of $ 1.5. After a multi-month defensive period, $XRP has moved within a few points of the middle line of the Bollinger Bands on the weekly timeframe.
According to experts, if there is a weekly close above this level, the long-standing horizontal structure will dissipate and it will be possible for the price to accelerate up to $2.03, which is the upper limit of the Bollinger Band. Currently, volatility is stuck in an extremely narrow range, which historically precedes strong trend movements.
Buyers managed to put pressure on sellers this week; A short-term attack occurred on the middle band, reaching $1.54. However, the market could not close at this level for the week and the price retreated to the $ 1.45 range.
The coming days will determine the direction
If the break above $1.50 is clearly confirmed, XRP is expected to enter the upper Bollinger range and $2.03 will be on the agenda as the first main target. The critical area to be defended by buyers is the $ 1.03 level, which is the lower limit of the band.
In the coming days, it will become clear whether the price movement will break around $ 1.5 or whether the market will turn from here and enter a horizontal course again. If the price moves towards $2, it will be among the strong possibilities that XRP will signal a return to the global uptrend.
