XRP: Towards A 550% Crypto Rally?

The crypto XRP is attracting increasing attention as the bulls dominate a remarkably stable market. With prospects of an ETF on the horizon, the price could aim for new heights. All the details in the following paragraphs!

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The XRP bulls dominate a healthy crypto market

Since November, the XRP price has recorded a spectacular increase of 550 %. This digital asset has thus transitioned from an extended bearish cycle to a notable bullish momentum. Currently, it oscillates between $2.9 and the peak of 2021.

Graphical data reveals interesting facts about the crypto asset XRP:

• The directional movement index (or DMI) shows an intact bullish trend (despite a slight mitigation).
• The RSI on 12 hours is above 60. This indicates strong buying pressure, thereby confirming the dominance of bulls in the market.

According to Coinalyze, stable funding rates illustrate the healthy state of the market. This contrasts sharply with the local peaks of March and December 2024. Excessive increases in these rates had preceded brutal corrections.

Avoiding excesses, XRP could thus continue to rise while being supported by favorable market momentum. According to the Fibonacci extension, the next key resistance is at $4.3. Additionally, there is potential in the medium term to reach $6.8 in case of a FOMO-driven rally.

Approval of XRP ETFs: What impact on the price of the crypto currency?

Valued at 79 % according to Polymarket, the chances of approval are increasing market expectations. Specifically, an approval could attract massive institutional capital. This could drive the price of the crypto asset XRP beyond $4.3. Some predictions even extend to $6.8.

However, risks remain. A break below the 50-day moving average (currently at $2.4) could indeed reverse the trend. Worse still! This would encourage increased selling pressure. Investors must thus remain vigilant to these signals.

A sustained increase of the crypto XRP could reinforce the confidence of institutional and retail investors. But that’s not all! It could also serve as an indicator for the entire crypto ecosystem in the coming months.