XRP Price Jumps 16% on Legal News, Analysts Eye Potential Return to $3.40 Peak

XRP price surged 16% in less than 24 hours following news about Ripple's potential resolution with the Securities and Exchange Commission on March 19. The cryptocurrency has since relinquished half those gains over subsequent days, failing to hold the significant $2.50 threshold that analysts consider crucial for sustained momentum.

The rally continues to be primarily driven by spot market activity rather than futures trading. XRP previously matched its all-time high of $3.40 on January 16 during a sustained parabolic rally fueled by strong spot buying volumes that persisted for weeks. Current market data suggests a similar pattern may be emerging again.

Technical indicators from Velo data reveal that the aggregated spot tape CVD (cumulative volume delta) has turned positive for the first time since late January. This metric tracks the net difference between aggressive buy and sell trades across multiple exchanges, with readings above zero signaling increased buying pressure as market buy trades outpace sell orders.

"The upward trend reflects persistent buyer aggression," noted market analysts reviewing the data. This buying pressure typically correlates with price increases when sustained over time.

Contradicting this positive spot market signal, the futures market presents a more bearish outlook. Negative aggregated premium on open interest indicates that futures traders continue to position against an XRP price rise. This creates what analysts describe as a "tussle between bullish spots and bearish perps," creating market uncertainty.

CrediBULL Crypto, an anonymous trader with significant following, suggested XRP remains on track to eventually surpass its all-time high of $3.40 in coming weeks. However, they cautioned that the cryptocurrency will likely retest immediate support levels around $2 before establishing a sustained uptrend. Employing a "Power of 3" technical analysis framework, the trader characterized XRP as currently in an accumulation range that typically precedes a manipulation period where prices may briefly drop to liquidate overleveraged positions.

Markets analyst Dom emphasized that XRP's all-time high volume weighted average price remains a bullish threshold. "The altcoin must stabilize around the $2.50 level," Dom stated, suggesting this price point represents a key psychological and technical barrier for continued upward momentum.

From a technical perspective, XRP could potentially avoid retesting the $2 level if prices establish a daily close above $2.65. This would create what analysts term a positive "break of structure" (BOS), potentially convincing futures traders to adopt the bullish stance already prevalent among spot market participants.

Conversely, a close below $2.23 would invalidate recent positive price action and likely reinstate the overall bearish trend that has dominated in recent weeks. Maintaining position above the incline support trendline remains necessary for establishing higher highs in the near term.

Despite encouraging spot market activity, XRP currently lingers in a state of indecision without a clear directional bias. The market remains locked in sideways consolidation, with bulls and bears engaged in an ongoing battle for control of the cryptocurrency's next major move.