XRP Price: Crash or Rally Amid Israel-Iran War Tensions?

Despite the ongoing geopolitical chaos stemming from the Iran-Israel conflict and the subsequent broken ceasefires, the cryptocurrency market, including XRP prices, remains volatile. As of June 26, 20265, the token trades at $2.18, spotting a bullish falling wedge pattern. A successful breakout from this technical formation hints at a theoretical rally that could propel XRP price to $2.65. But geopolitical tensions and war could hinder this outcome and trigger a crash. What’s next for XRP? Let’s explore.

How the Iran-Israel War Impacts XRP Price

The Iran-Israel conflict will likely affect how the price of XRP performs in the near term. The impact will mirror how other assets, such as stocks, perform during periods of uncertainty when traders abandon more volatile assets like crypto and shift their focus to assets like gold.

For instance, on June 13, which was when the tensions between the two countries were at their peak, XRP price crashed from $2.27 to $2.08 within hours. Again, over the weekend, after reports that the US had struck nuclear sites in Iran, XRP once again crashed, with the price briefly dropping below $2 per CoinMarketCap data.

Conversely, after reports emerged that Iran and Israel were on the same page in a ceasefire deal earlier this week, the Ripple price rebounded from $2.01 to $2.21 as interest towards the altcoin surged.

Going by this historical data, it is clear that this conflict has a direct impact on the price of Ripple’s token. Therefore, if there is an escalation, traders should anticipate the XRP price to crash further. On the other hand, if there is a resolution and the risk appetite towards crypto assets returns, the price of Ripple will likely undergo a notable upward trend.

Will XRP Crash or Rally Higher?

Currently, the conflict appears to be paused as Trump promises a meeting next week after the CIA director confirmed substantial damage to the Iranian nuclear facilities. Due to this pause, it is likely that the XRP price, along with the broader crypto market, could rally higher in the coming days. The emergence of a falling wedge pattern, which was confirmed after the weekend crash, saw the XRP breakout from a 7-month consolidation, indicating that bulls could take full control over the price action.

XRP is attempting to surge past the upper trendline resistance in this bullish pattern, which will confirm that a strong recovery may be imminent. If this breakout occurs, the key target lies at the 200-day SMA level of $2.37.

Overcoming this critical resistance at the 200-day SMA will confirm that the long-term trend is about to become bullish, and the price could target the highest point of this pattern, which lies at $2.65.

The RSI is currently attempting to cross above 50, but it is constantly facing rejection. If it can cross above this level, it will confirm that the momentum behind the XRP price performance is bullish, and this could pave the way for further gains.

In summary, the XRP price is at a crucial point due to the tensions between Israel and Iran that have been moving crypto prices and causing a spike in volatility. If the situation becomes favorable for buyers looking for risk assets, it is possible that the price of Ripple rallies higher, but if the geopolitical situation worsens, the token could crash.