XRP retraces towards support as SEC delays Franklin Templeton’s ETF decision

The Securities and Exchange Commission has postponed a decision on the Franklin XRP Fund, a spot XRP exchange-traded fund proposed by asset manager Franklin Templeton.  

According to its most recent filing, the SEC has extended the review period to June 17 from the original deadline of May 3. The SEC stated that more time was needed to evaluate the application and attendant regulatory concerns. 

Franklin Templeton, which oversees more than $1.5 trillion in assets, submitted the request on March 13 through the Cboe BZX Exchange. The SEC officially published the submission for public comment in the Federal Register on March 19.

Under present guidelines, the SEC has up to 90 days to approve, disapprove, or delay its judgment. In this scenario, it elected to wait. 

Despite increased market anticipation, the XRP price (XRP-1.45%) reacted cautiously. XRP is now trading at roughly $2.22, with little volatility and a considerable decline in volume. According to crypto.news data, trading volume has dropped 32% in the last 24 hours, indicating that traders are waiting for clearer signals. At 55, the relative strength indicator implies neutral momentum. Moving averages show a more hopeful picture. XRP is currently trading above almost all of the major short- and mid-term moving averages. The moving average convergence/divergence indicates a potential upward surge, but the bulk of oscillators are indecisive.

If bullish pressure continues and XRP recovers higher support above $2.30, the next resistance level is near $2.50, with a breakthrough potentially targeting the $2.85-$3.00 range. If the current consolidation breaks down, XRP might fall to $2.00 or, in the worst-case scenario, $1.85. 

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