Ripple’s native token, XRP, has outshined the global crypto market, surging 1.36% in the past 24 hours and attaining an intraday peak of $0.6622. In contrast, the broader crypto market cap is down by 2.05% to the $2.26 trillion threshold within the same period.
Following XRP’s recent price uptick, the token has retested the $0.66 resistance level, an area last touched on March 25. This scenario has sparked speculation among investors and analysts about whether XRP will exhibit a rally to break through the $0.66 barrier or if a correction is imminent in the short term.
Mimicking the cryptocurrency’s value surge is stellar trading performance, which also spiked by 68.52% to $2.731 billion in the last 24 hours. In tandem, its market capitalization also increased to $35.793 billion, affirming its dominance as the 7th most prominent cryptocurrency in terms of market rankings. Ultimately, after a prolonged period of sideways price shrinkage, this growth implies that XRP might be on track for a steady revival.
XRP Tests the $0.66 Barrier
For over two weeks, the value of the XRP token had been trading within a rangebound pattern, struggling to break past the $0.605 resistance level. However, following yesterday’s price surge, the token tested the $0.66 barrier, showing signs of potential bullish momentum building up in the short term.
Despite this positive price action, the cryptocurrency has exhibited a slight pullback in its value, now settling around $0.6313. This modest correction has left many wondering: will XRP be able to maintain its upward momentum and break through the $0.66 barrier soon, or will it face resistance and fall back to previous levels?
According to the MACD indicator, this optimistic sentiment might be sustained in the coming days as the token shows signs of bullish strength. With the MACD line at 0.01749 above the signal line and pointing upwards, there is a strong indication that XRP may attack the $0.66 mark again and possibly even surpass it.
The RSI index further reinforces this positive outlook. Currently positioned at 58.55, it indicates ample space for XRP to continue its momentum before overbought conditions are attained. In addition, data from CoinGlass shows that the altcoin is experiencing a solid bullish outlook.
This is evident as its open interest-weighted funding rate has consistently surged to a high of 0.0101%, implying long position holders are willing to pay a premium to short position holders to keep their positions open.
Is a Rally or Correction Next?
Given the current market conditions, XRP is on the verge of a potential breakout above the $0.66 hurdle, which could confirm a bullish dominance. Such a scenario might push the cryptocurrency to higher zones, possibly challenging the $0.77997 threshold, reflecting an over 24% uptick from its current price.
A breach above this mark could further push the altcoin’s price toward the $0.9500 level, last touched on July 10. On the contrary, should the $0.66 barrier prove formidable, like on its previous occasions, the token might witness a price pullback, potentially retesting toward the $0.605 support zone.
Nevertheless, if this point falters, the altcoin could see its value target lower lows around the 38.2% Fibonacci level at $0.54086 to form a lower high before resuming its upward trajectory. Such an event might provide an opportunity for traders to accumulate more XRP at a lower price before the next potential breakout.
Also Read: 3 Reasons Why Bitcoin Price Can Surge Past $70K Mid-October
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