Cryptocurrencies swung back up on Thursday following the US Federal Reserve’s decision to leave interest rates unchanged. Bitcoin and the majority of altcoins including XRP price rebounded amid enhanced investor confidence in the rally which researchers at Matrixport believed could see the largest crypto close the year above $56,000.
A bullish Bitcoin, to a large extent, implies a bullish crypto market. Hence, the reason XRP price asserted its muscle above the newly found support at $0.6.
The cross-border money remittance token up 0.4% in the last 24 hours, is trading at $0.6084 amid falling trading volumes by 15% to $1.6 billion. Intriguingly, the fifth-largest crypto is seeing a 0.62% increase in the market cap to $32.6 billion, according to market data from CoinMarketCap.
Is XRP Price Poised To Climb To $1?
Based on the daily chair, XRP has recovered 61.8% after the dip from highs at $0.93—achieved in the wake of Ripple’s partial win in the lawsuit against the Securities and Exchange Commission (SEC).
Such a move implies that XRP must find higher support, preferably on top of the grey band in the chart. This will allow for some semblance of consolidation, where buyers reevaluate their positions for the next breakout. As new entries are made, liquidity is expected to build and this is what will drive the next rally above key resistance levels at $0.7 and $0.9, respectively.
The Moving Average Convergence Divergence (MACD) indicator backs the uptrend. If traders keep seeking fresh exposure to XRP longs, the price will quickly climb to higher levels.
For now, the biggest resistance is the 61.8% Fibonacci retracement level at $0.62. Some traders will likely be selling at this price point to lock in the gains, hence the possibility of XRP consolidating above the immediate support at $0.6.
If XRP pushed above the 61.8% Fibo hurdle, more buy entries would be made to capitalize on the next move to $0.7, $0.9, and eventually to $1. A bullish cross could also back XRP’s breakout. This pattern follows the movement of a short-term moving average above a long-term one. In this case, the 50-day Exponential Moving Average (EMA) has just crossed above the 100-day EMA, implying that XRP is in a position to keep the uptrend going as opposed to pulling back below $0.6.
Crypto Lawyer John Deacon Bullish On Ripple
Award-winning crypto lawyer John Deaton has lauded Ripple amidst fears that the company will abandon XRP. In a post on Twitter (now X), Deaton said that Ripple has a fiduciary duty not to pivot from XRP.
Concerns over the firm’s position on XRP have been coming up, considering Liquidity Hub, its flagship product does not feature XRP among the digital assets it supports.
As I’ve said for more than 3 years, Ripple is not going to abandon #XRP. It has a fiduciary duty not to.
Do the math:
2015: Series A valuation – $128M
2016: Series B valuation- $410M
2020: Series C valuation- $10B2022: Series C Buyback valuation – $15B
Last year, Ripple… https://t.co/xnMUqjcQS8
— John E Deaton (@JohnEDeaton1) November 2, 2023
According to Deaton, Ripple has many reasons not to abandon XRP, mentioning the company’s series A, B, and C funding as well as a possible IPO. Ripple has also cleared the concerns in a blog post, stating that it will only be able to add XRP in the Liquidity Hub when it gets regulatory clarity.
The SEC and Ripple are still in court over the institutional sales of XRP. A trial is expected next year but a settlement has not been ruled out by both parties.
Related Articles
The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.
✓ Share: