XRP continues to gain momentum, having recently conquered the $0.54 price threshold in an attempt to regain past losses, with trade volume up 181% in 24 hours.
The recent surge above the $0.54 price level marked a notable milestone, as XRP had not reached this territory since Oct. 4. This surge is a result of a remarkable rally that has propelled XRP’s price by 15% since Oct. 12.
The rally gained steam on Oct. 19 when XRP surged 6.54% in a single day, surpassing the 21-day Exponential Moving Average (EMA). This particular move added strength to the ongoing upsurge, confirming the bullish sentiment surrounding XRP.
Amid the price uptick, XRP experienced another impressive intraday gain yesterday, closing the day with a 4.76% increase. As a result of this increase, XRP recorded a full body close above the 50-day EMA and the 200-day EMA. This suggests strong bullish momentum for both the short and long terms.
Moreover, XRP looks to strengthen the rally further. The 50-day EMA, currently at $0.5174, is on the verge of crossing above the 200-day EMA at $0.5175. If this occurs, it would trigger a golden cross, which traditionally indicates a continuation of the bullish trend.
The surge in XRP’s price has also sparked increased interest from market participants, evident in the soaring trade volume. Over the past 24 hours, XRP’s trade volume has surged by 181.48%, reaching $1.93 billion, a level not seen since Aug. 18.
This price increase has bolstered XRP’s market capitalization, which now stands at $29.18 billion, solidifying its position as the fifth-largest cryptocurrency by market capitalization.
Crucial XRP Levels to Watch
As of the latest data, XRP is trading at $0.5461 per CMC. Having conquered the $0.54 territory, XRP’s next resistance level is at $0.5576, found at the Fibonacci level of 1. Breaking through this level could pave the way for further gains, reaching the next resistance at the Fib. 1.618, corresponding to a price of $0.5986.
Nonetheless, to sustain this bullish momentum, the bulls need to defend $0.54. Dropping below this point could bring the Fib. 0.5 level into play, situated at $0.5244. The last line of defense to prevent a drop below $0.50 is $0.5069. Should the bears breach this level, the $0.4912 price point becomes the critical support.
Reasons Behind the Rise
The primary catalyst for XRP’s upsurge is the overall positive direction of the broader crypto market, primarily led by Bitcoin (BTC). Bitcoin has shown resilience, having briefly reached the $35,000 level. The asset has dropped below this level but still holds above $34,000.
Investor optimism is mounting, especially as discussions around a spot ETF gain traction. Recent occurrences involve the inclusion of the iShares BTC trust within the Depository Trust and Clearing Corporation, alongside the SEC’s regulatory approval for adjustments to the Grayscale Ethereum Futures Trust.
In addition, the developments in the Ripple vs. SEC case have also contributed to XRP’s surge. Judge Analisa Torres recently signed an order formally dismissing the SEC’s charges against Ripple’s executives, reversing the agency’s earlier intent to pursue the case.
Disclaimer: This content is informational and should not be considered financial advice. The views expressed in this article may include the author's personal opinions and do not reflect The Crypto Basic’s opinion. Readers are encouraged to do thorough research before making any investment decisions. The Crypto Basic is not responsible for any financial losses.
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