XRP Stalls Despite Ripple CEO’s Insights on Competing with SWIFT

XRP has stalled this week, even after Ripple CEO Brad Garlinghouse shared his views on how Ripple will compete with SWIFT.

Ripple (XRP) was trading at $2.40 on Tuesday, holding steady over the past few days. The price is about 28% above its lowest level this month.

In an interview with Fox Business host Maria Bartiromo, Garlinghouse expressed confidence that Ripple would become a viable rival to SWIFT over time. He argued that SWIFT, which has been around for over 50 years, is due for disruption with its slow and time-consuming technology. SWIFT, handling over $150 trillion annually, often takes days to complete transfers.

Garlinghouse noted that the recent conclusion of the Ripple vs SEC case will help Ripple onboard more American banks handling trillions in payments each year. He pointed out that Ripple gained more U.S. banks and payment companies in the six weeks after Donald Trump’s election than in the previous six months combined.

Ripple’s business in the U.S. largely stagnated after the SEC launched its lawsuit against the company in 2020. Subsequently, most partnerships were formed abroad, especially in Japan.

Ripple’s technology is seen as a superior alternative to SWIFT due to its faster speeds and lower costs. A typical transaction takes less than five minutes and costs just cents. Ripple utilizes on-demand liquidity to convert local currencies to XRP for international transfers, though transactions can also occur without using XRP.

Ripple aims for its stablecoin, Ripple USD (RLUSD), to play a significant role within its ecosystem. However, it still faces challenges catching up with SWIFT, which has partnerships with over 11,000 banks.

XRP Price Technical Analysis

XRP price chart | Source: crypto.news

The XRP token has formed a head and shoulders pattern on the daily chart, risking a drop to $1. However, the weekly chart shows a break-and-retest pattern due to movement to $1.9666, the highest swing in 2021.

XRP has also formed a bullish pennant chart pattern, indicated by a tall vertical line and a symmetrical triangle. It has moved above the 50-week and 100-week moving averages.

Further gains will be confirmed above the resistance at $3, representing the shoulders of the head and shoulders pattern. Moving above that level would increase the chances of the coin reaching $5, a 105% increase from its current level. A drop below the support at $1.966 would invalidate the bullish outlook.

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