XRP, the native token of Ripple Labs, is facing continued headwinds despite recent legal victories. The ongoing lawsuit between Ripple and the U.S. Securities and Exchange Commission (SEC) regarding XRP’s classification as a security remains a significant uncertainty for investors. While there have been positive developments, such as the dismissal of key allegations against Ripple and a lowered penalty request from the SEC, the case is still ongoing.

Ripple CEO Clarifies California Lawsuit

Adding to the complexity, Ripple CEO Brad Garlinghouse is embroiled in a separate lawsuit in California. A judge recently allowed the case to proceed, but dismissed claims that Ripple violated federal securities laws. Garlinghouse maintains that a statement he made years ago regarding his personal XRP holdings was misconstrued and is confident about Ripple’s position.

XRP Price Struggles to Find Direction

Despite these legal battles, XRP achieved a milestone on June 23rd, with the XRP Ledger processing 10 million transactions for the first time. However, the token’s price action remains subdued. After failing to break above the $0.4880 resistance zone, XRP has dipped below $0.48 and is currently testing support around $0.4720.

XRP/USD Technical Analysis Hints at Potential Bounce

A closer look at the technical indicators reveals a potential turning point for XRP. The hourly MACD is gaining momentum in bearish territory, but the RSI has dipped below 50, suggesting limited room for further decline. Additionally, XRP continues to hold the crucial $0.475 support level.

Two Possible Scenarios for XRP

Analysts envision two potential scenarios for XRP:

• Scenario 1: Further Downturn: A break below $0.4720 could trigger a decline towards $0.429, a lower support level.
• Scenario 2: Price Bounce: A rebound from the current support could propel XRP back towards the upper consolidation zone around $0.57.

Investor Interest and Whale Activity

While the price action is lackluster, a surge in 24-hour trading volume by 58% indicates renewed investor interest in XRP. Additionally, on-chain data suggests crypto whales have been accumulating XRP during the price dip. This accumulation activity could be a sign of bullish sentiment for the long term.