XRP was trading around $1.36 on Monday, maintaining a position above its critical moving averages as traders kept a close eye on two significant events this week. Bitcoin hovered near $77,000, Ethereum around $2,490, and Solana approached the $100 mark.
The first major catalyst this week is a Senate procedural vote on the CLARITY Act, set for September 15 at 2:15 p.m. ET. This cloture vote will only pave the way for debate, not finalize legislation, and it requires 60 votes to progress. With Republicans holding just 53 seats, they will need at least seven Democrats to join them.
In a pivotal meeting on Friday, President Trump discussed the ethics provisions in the crypto bill with his advisers, making headlines as traders weighed potential political outcomes. The buzz intensified on social media, with analysts highlighting the implications of Trump’s involvement.
Senator Cynthia Lummis unveiled a revised 630-page draft of the bill last Thursday, claiming it includes over 114 changes requested by Democratic lawmakers. However, these edits do not guarantee votes, leaving the outcome uncertain.
What the CLARITY Act Would Change
The updated bill aims to scrutinize decentralized finance (DeFi) protocols that claim to be decentralized yet operate with centralized control. Such platforms would be required to register with the Commodity Futures Trading Commission (CFTC) and comply with the Bank Secrecy Act’s requirements.
Another crypto analyst dissected the changes on social media, noting, “Non-decentralized DeFi protocols must now register with the CFTC, with the CFTC and Treasury jointly crafting the rules. DeFi provisions have been narrowed to spot trading only.” The revised bill also aims to clarify the scope of digital asset services that credit unions can offer.
Unresolved issues surrounding ethics language and stablecoin rewards remained after the critical White House meeting on Friday.
Fed Rate Decision Adds Pressure
The Federal Open Market Committee will convene from September 15 to 16, with a rate announcement expected on Wednesday at 2 p.m. ET. Futures markets indicate a 90% chance of a quarter-point rate hike. Recent inflation data for August came in at 3.4% year-over-year, adding pressure on the Fed to take action.
On the technical front, analysts are closely monitoring the $1.31 to $1.35 range as key support for XRP. One analyst noted, “As long as XRP holds the $1.31 to $1.35 support zone, I’m watching for price to push toward the triangle’s apex. A decisive break above $1.38 could open the door to $1.60.”
As of Monday, XRP’s Relative Strength Index (RSI) was around 53, indicating neutral momentum, while the Moving Average Convergence Divergence (MACD) showed slight negativity, suggesting consolidation. The 200-day Exponential Moving Average (EMA) at $1.354 is currently acting as immediate support.
Resistance levels to keep an eye on are $1.37, followed by $1.40, and potentially $1.45 if momentum builds. Should XRP dip below $1.33, the next support level is around $1.30.
As of Monday’s session, XRP was securely above its 50-day EMA ($1.280), 100-day EMA ($1.252), and the 200-day EMA ($1.354), setting the stage for the developments ahead.
