The renewed uptrend in XRP price after the sell-off in July and early August keeps the dream of a $1 rally alive, with traders ready to take positions ahead of a major breakout supported by strong fundamentals and a robust technical structure.
While Bitcoin and Ethereum struggle to hold on to their recent gains, the cross-border remittance token continues to show bullish momentum among altcoins such as Dogecoin (DOGE), TRON (TRX), and Avalanche (AVAX).
XRP price market drivers: Increasing buying activity and robust futures market
The XRP price is expecting a new recovery phase above $0.6 as whales increase their risk appetite. According to Santiments According to the supply distribution metric, addresses holding 10,000 to 100,000 XRP currently account for 11.32% of the total network supply, up from 11.25% on August 2. Likewise, addresses holding 1 million to 10 million XRP benefited from the correction to $0.42, increasing their cumulative holdings to 6.3%.
The derivatives market made a strong comeback, with XRP futures open interest increasing by 3.43% to $671 million. Based on Coin jar Trading volume rose 30% to $2.14 billion, according to the data, in addition to a 36% increase in open options interest to $648 million.
Increasing buying activity and robust derivatives indicators often indicate strong investor interest and confidence in Ripple PriceThis unique combination often indicates a potential upside movement, offset by increased demand for the token and speculative activity.
Ripple Price Analysis: Preparing for a Next Move
The XRP price failed to break the $0.62 resistance today, resulting in a correction to seek support above the 20-day Exponential Moving Average (EMA). The token was fluctuating at $0.5971 at the time of analysis, showing the potential for a larger increase above $0.6.
The SuperTrend flip under XRP signals a possible bullish trend reversalTraders view this as a buying opportunity and expect the uptrend to gain momentum in the near future.
Traders will look for a break of the $0.6 resistance before buying more XRP. As confidence in the uptrend grows, Path of least resistance will continue to rise towards $1.
XRP will remain under sellers’ control until the $0.6 resistance is broken. If the $0.55 support holds, a consolidation is possible before another attempt at $1.
Frequently Asked Questions (FAQs)
The XRP price is showing the potential to break the immediate support of $0.6, which if successful will trigger the next rise to $1.
Macroeconomic factors such as the interest rate cut in September influence the behavior of holders.
The recovery from the $0.42 support level signals a possible bottom for the XRP price.
Johannes Isige
John is a seasoned crypto expert known for his in-depth analysis and accurate price predictions in the digital asset market. As the price prediction editor for market content at CoinGape Media, he is dedicated to providing valuable insights into price trends and market forecasts. With his extensive experience in the crypto space, John has honed his skills in understanding on-chain data analysis, non-fungible tokens (NFTs), decentralized finance (DeFi), centralized finance (CeFi), and the dynamic metaverse landscape. Through his persistent reporting, John keeps his audience informed and equipped to navigate the ever-changing crypto market.
Disclaimer: The content presented may contain the personal opinion of the author and is subject to market conditions. Conduct market research before investing in cryptocurrencies. The author or publication assumes no responsibility for your personal financial loss.
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