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Top Reasons Why XRP Price May See A Rally Soon
XRP price is leading gains among top cryptocurrencies today as the crypto market recovers from the recent downturn. Traders anticipate this could be the start of a massive rally in XRP crypto as token value saw no clear upside momentum. after the Ripple Labs vs SEC lawsuit concluded earlier this month.
XRP Price At the Start of a Big Rally?
US SEC v. Ripple Labs Ended
Judge Analisa Torres ordered Ripple Labs to pay $125 million in penalties only to the U.S. SEC, significantly lower than $2 billion sought by the government agency. Ripple’s ODL business is not impacted much despite the injunction as the company does more such deals outside the United States.
The latest ruling is considered a victory for the company and the crypto community. However, the recent crypto market crash wiped out the positive sentiment and XRP price fell below $0.50. The price has recovered 25% since then as investors remain bullish on XRP. Notably, the latest market recovery can trigger the most-awaited rally that was not witnessed after Ripple Labs’ win.
XRP ETF Anticipation And RLUSD Stablecoin
Immediately after the ruling, Ripple Labs announced further plans related to RLUSD stablecoin. The crypto payments firm started testing its stablecoin Ripple USD (RLUSD) on XRP Ledger and Ethereum.
The crypto community is extremely confident about XRP ETF launch after it gets clarity from the court. The company’s CEO Brad Garlinghouse said the launch of an XRP index by CME and CF Benchmarks has increased the odds of XRP ETF.
These developments are expected to bring massive upside momentum in XRP price. While Wall Street giants such as BlackRock denied plans to issue XRP ETF at this time, companies have started using XRP. Wells Fargo nodded to the use of XRP for loan payments and settling of credit card debts.
Bitnomial Exchange, a designated contract market, has officially informed the CFTC of its plans to introduce XRP/USD futures contracts.
XRP Price Chart Forms Golden Cross Pattern
XRP chart has formed a bullish chart pattern called the “golden cross”. This pattern forms when a short-term moving average (MA) crossovers above a long-term moving average.
In the daily timeframe, the 50-MA has crossed over 200-MA to confirm the formation of a golden cross. This resulted in XRP crypto seeing an uptick of 7% in the last 24 hours. Thus, traders are extremely bullish considering the golden cross pattern formation.
XRP Buying in Derivatives Market
The derivatives market is also witnessing huge demand for XRP. As per Deribit exchange, XRPUSDC linear options open interest has jumped significantly and options traders are betting for a target as high as $1.
Meanwhile, total XRP futures open interests are again climbing over $700 million. Coinglass data indicates a more than 11% jump in XRP OI in the last 24 hours across crypto exchanges.
XRP price has jumped more than 7% over the last day, with the price currently trading at $0.609. The 24-hour low and high are $0.576 and $0.614, respectively. Furthermore, the trading volume has increased by 63% in the last 24 hours, indicating a rise in interest among traders. An XRP price analysis also predict a rally to $1.
Varinder Singh
Varinder has 10 years of experience in the Fintech sector, with over 5 years dedicated to blockchain, crypto, and Web3 developments. Being a technology enthusiast and analytical thinker, he has shared his knowledge of disruptive technologies in over 5000+ news, articles, and papers. With CoinGape Media, Varinder believes in the huge potential of these innovative future technologies. He is currently covering all the latest updates and developments in the crypto industry.
Disclaimer: 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.
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