XRP slid 6% over the past week, breaking below the $1.40 support level it had held since the CLARITY Act cleared the Senate Banking Committee. The cryptocurrency had briefly surged to $1.54 after the committee's 15-9 vote on May 14, but the rally couldn't withstand fresh selling pressure.
CLARITY Act Timeline
The bill passed the Senate Banking Committee by a 15-9 margin on May 14, setting up a full Senate vote expected in June. If approved, it could reach the president's desk by the July 4 deadline. The legislation aims to provide regulatory clarity for digital assets, though it contains no specific provisions about XRP's legal status.
Technical Resistance Zones
Analyst Ali Martinez noted XRP's 3-day chart shows the tightest Bollinger Band squeeze in over a year, signaling an imminent price breakout. Martinez identified $1.50 as a critical bullish threshold while warning that a drop below $1.29 would trigger bearish momentum. Sam Daodu highlighted $1.44 to $1.45 as a heavy sell wall that repeatedly blocked XRP's upward moves this month.
Price Rollercoaster
The recent 6% decline erased most of XRP's post-committee approval gains, leaving it $0.14 below its May 14 peak. Traders struggled to push past Daodu's identified resistance zone, with selling pressure intensifying as the cryptocurrency approached the $1.44-$1.45 range. The drop beneath $1.40 support came as broader crypto market volatility increased.
Senate Vote Looms
Market participants now fix their attention on the full Senate vote scheduled for June. The outcome could determine whether the legislation meets the July 4 presidential approval deadline. Traders are watching how the vote timeline intersects with XRP's current technical position near the $1.29 breakdown level Martinez identified. The cryptocurrency's ability to hold above that floor may depend on legislative developments in the coming weeks.
