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Volatility is back in the crypto market as the XRP price and the price of other major cryptocurrencies trend to the upside and into new year highs. The cryptocurrency is heading towards its next resistance level with a high chance of
As of this writing, the XRP price trades at $0.57, with a 9% increase in the last 24 hours. The cryptocurrency recorded a 16% spike in the previous seven days and closely followed Bitcoin and Ethereum’s price action, which recorded a 22% and 16% profit over the same period.
XRP Price On Its Way To Next Critical Level
According to an XRP trader on social media platform X, the token’s price exceeded the critical resistance level of $0.528. The analyst claims that there is a high chance that the XRP will rise close to $0.60 in the short term.
In that sense, the trader believes that $0.66 will operate as the next critical resistance level based on the chart below. The analyst compared the current XRP price with the 2017 bull run.
The chart shows that during the 2017 run, XRP closed above the weekly Ichimoku Cloud, a level used to gauge critical resistance and support levels. Once the token broke above that level, it could quickly fall into new highs and price discovery.
The analyst stated the following about the XRP price and its potential to continue its run:
This is not a warning or financial advice, but I would like to share it with you and emphasize how close we are after this weekly close. It seems the weekly Ichimoku close will be above the clouds, and it only happened before the 2017 run and 2021. When it happens, it happens. Be Ready.
Crypto Market Poised For Further Highs
A report from Bitfinex Alpha corroborates the market susceptibility to “new narratives.” In particular, the potential approval of a spot Bitcoin Exchange Traded Fund (ETF) in the US.
As the XRP price and the market continue to rip higher, volatility in the sector is likely to remain high. As seen on the chart below, the crypto has been inching higher and higher with each volatility event (the potential approval of a Bitcoin ETF was the most recent.
In addition, the crypto research firm points to an increase in on-chain activity, which has historically supported higher prices for the sector:
On-chain activity also continues to support the conclusion that higher volatility is here to stay and that it will grow in the coming months. Our analysis of Spent Output Age Bands (SOAB), which track the age of coins when they’re spent, and in particular the “age bands” of UTXOs that are most active, we can discern which group of investors is predominantly influencing market changes. For instance, if the UTXOs aged between three and five years show significant activity, it implies that investors who have held their positions for that time span are the primary movers in the market at that juncture.
Cover image from Unsplash, charts from Bitfinex Alpha, Dark Defender, and Tradingview
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By: Reynaldo Marquez
Title: XRP Price Confirms Early Stages Of Bull Market? Data Sheds Light On Recent Rally
Sourced From: www.newsbtc.com/analysis/xrp/xrp-price-confirms-early-stages-of-bull-market-data-sheds-light-on-recent-rally/
Published Date: Tue, 24 Oct 2023 20:00:22 +0000
