XRP has finally shown life, starting a slight recovery, following days of dull range trading that left many unsure of its future move.
On Sunday, the cryptocurrency started to rise again, albeit very slowly. This upward surge, while not particularly dramatic, is noteworthy because it may point to a possible change in market mood. After trading sideways, the price of XRP saw a small bullish momentum and increased.
As of this writing, XRP had increased by 2.33% to $0.5518 over the previous day. The trading volume of XRP has also jumped to $1.07 billion in the last day, indicating an 85.51% increase. From its low of $0.536 on Sunday, XRP started to rise, reaching a high of $0.556 during today’s trading session. In the event that today ends out higher, XRP would have gained for the second day in a row.
For the first time, Tesla CEO Elon Musk made a direct reference to XRP, which was well-received by the cryptocurrency community. If the rising trend is maintained, XRP must overcome a significant obstacle: the daily simple moving average (SMA) of 50 at $0.56. XRP may be able to maintain its upward trend if it can break over this resistance. If this isn’t done, traders who enter at cheaper prices may take profits, which could lead to a fall.
Bears resisted a recent attempt on October 17 to break through this level. That being said, it may be vital for XRP to see whether it can overcome this level over the next few days. If the price breaks above the daily SMA 50, more buyers might become interested, which could raise the price. However, XRP may consolidate or perhaps retrace some of its recent gains if the barrier proves to be too strong.
Next Price Target for XRP
At $0.56 and $0.539, respectively, the price of XRP is presently fluctuating between its daily moving averages of 50 and 200. The market will now be closely monitoring XRP price movement in relation to its daily moving averages in order to look for any indications of a breakout or breakdown.
A clear breakout, in this case, may signal further gains, perhaps aimed for the $0.6549 mark, whilst a rejection might portend further range-bound trading shortly. However, a drop below the daily SMA 200 at $0.539 might drive the price of XRP toward the lower end of its range, with support being seen at $0.507 only.
Conclusion
XRP’s recent modest recovery from its prolonged range-bound trading suggests a potential shift in market sentiment, with its slight price increase accompanied by a notable rise in trading volume. While the 2.33% gain to $0.5518 is not dramatic, it signals a cautious return of bullish momentum, especially as XRP approaches a key resistance level at the 50-day simple moving average (SMA) of $0.56.
If XRP can break through this barrier, it may attract more buyers and continue its upward trajectory. However, failure to surpass this resistance could trigger profit-taking, leading to another period of consolidation or retracement. The market will be watching closely for either a breakout towards higher levels or a potential dip if resistance holds.
Anthony Pedro
Anthony Pedro is a seasoned crypto writer with a deep passion for blockchain technology and digital currencies. With over 4 years of experience in the cryptocurrency space, Anthony has become a trusted voice, offering insightful analysis and commentary on the latest trends, innovations, and market movements. When not writing, he is actively engaged in the crypto community, attending conferences, advising blockchain startups, and experimenting with new projects.