XRP Price Target: Analyst Says $0.70 Is the Downside If CLARITY Act Fails
XRP traders have spent most of 2026 mapping out what happens to the token if the CLARITY Act passes, but analyst Gareth Soloway has flipped the question around. His downside answer gives holders a specific number to plan against: roughly $0.70.
Soloway, chief market strategist at InTheMoneyStocks, laid out the conditions that would trigger that bearish target during a recent market analysis. He stressed that a soft delay or stalled negotiations would not be enough — the bill would need to be definitively killed for XRP to retrace toward that level.
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What Would Trigger the $0.70 Drop?
Soloway was explicit about the threshold. “I think if it doesn’t pass, and I think the passing it has to be literally shut down as in like no chance,” he said, clarifying that a confirmed failure of the bill is the only scenario that would send XRP toward his downside target.
If that happens, he expects XRP to fall back into familiar territory. The $0.70 zone lines up with XRP’s high pivot range from 2024, a cluster of prior price peaks that now serves as a potential support level. As a technical trader, Soloway said he would consider accumulating around that area if he were positioning for a long-term long trade.
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The downside scenario, however, is a contingency rather than his base case. Soloway remains bullish on XRP in the current environment.
Chart Shows Green Shoots Despite Recent Volatility
XRP briefly dipped below the $1 mark this week before bouncing back quickly. The move triggered a wave of stop-loss selling and liquidations, but buyers stepped in almost immediately, recovering the level.
Soloway called that recovery a potential “bottoming tail,” a technical pattern that can signal a short-term low is in place. He also pointed to a longer-term wedge pattern that recently broke out, along with support building in the $0.96–$0.97 range.
“Even as nasty as the chart looks, there are green shoots,” he said, describing the setup as bullish enough that he is currently long XRP.
Shorter-Term Setup Points to Immediate Levels
Separately, chart analyst CryptoMoses flagged a more immediate technical pattern on the 4-hour chart. XRP is trading inside a falling wedge with $1 holding as key support. If buyers manage to break that structure to the upside, the next levels to watch are $1.05 and $1.10, according to the analysis.
“The setup is there,” the analyst wrote. “Now we wait for price to confirm it.”
Ethics Debate Remains the Swing Factor
Behind both scenarios sits the same unresolved question: what happens with the bill’s ethics provisions between now and early September. Negotiations around that issue remain the swing factor determining which of these two paths — the bullish breakout or the drop toward $0.70 — actually plays out.
The CLARITY Act, formally known as the Clarity for Payment Stablecoins Act, aims to establish a federal framework for digital asset regulation in the U.S. Its passage would likely resolve the long-running legal uncertainty that has weighed on Ripple and XRP since the SEC lawsuit began in 2020.
For now, traders are watching two key levels: the $1 support that has held this week, and the $0.70 zone that would become relevant only if the bill is definitively rejected. Until the ethics debate resolves, XRP’s price action will likely remain tied to every headline from Washington.
Disclaimer: This article is for informational purposes only and does not constitute financial advice. Cryptocurrency markets are highly volatile, and prices can fluctuate significantly. Always conduct your own research before making investment decisions.
