Is Ripple (XRP) Ready for a Big Move?
Ripple’s XRP is under the spotlight as its price hints at a potential 100% upswing. However, the path to this significant gain isn’t straightforward, and there are some critical factors to consider.
Recently, despite a positive Consumer Price Index (CPI) data release, the overall crypto market took a hit. Bitcoin’s price dropped below $60,000, indicating rising selling pressure. Ripple’s XRP followed suit, dropping by about 1% during the same period. This has left investors wondering if XRP will recover to $1 or if Ripple’s price will bounce back this year.
XRP Price at a Crucial Support Level
XRP’s price has been forming a symmetric triangle pattern on the daily chart since July, which often indicates a potential breakout. The price has consistently found resistance around the $0.630 level, which has become a key point where many traders are selling.
With a trading volume of $0.5712 and a circulating supply of over 56 billion XRP tokens, Ripple has secured its place as the 7th largest cryptocurrency, with a market cap of $32.573 billion.
The Relative Strength Index (RSI) for XRP is hovering around its midpoint, suggesting that buying and selling pressures are currently balanced. Meanwhile, the Simple Moving Average (SMA) indicator shows a slight bullish trend, indicating mixed market sentiments for XRP this week.
What’s Next for XRP?
If XRP can hold above the critical support level of $0.560, bulls might push the price toward the resistance level of $0.630. If the positive sentiment continues, XRP could potentially climb to its next resistance at $0.690.
However, if the market turns bearish, XRP might test the $0.560 support level again. If this level doesn’t hold and sellers dominate, the price could drop further to around $0.4880.
Not a financial advice, includes third party opinions.