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XRP Price Strengthens Bullish Grip But Recovery To $1 Still Shaky
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XRP price is trading at $0.516 after surging by more than 8% in seven days. The international money transfer token steadied the uptrend from August support at $0.44, thanks to a market-wide bullish outlook which boosted Bitcoin price to $27,200 and Ethereum price retest resistance at $1,650.
XRP Price Bullish Comeback Targets $1
The bullish comeback this week reduced the risk of another sell-off back to $0.44 support, which could have exposed XRP price to more losses, considering major support areas hold at $0.4 and $0.3.
With the SuperTrend indicator trailing the price while providing support, the recovery is likely to gain momentum as gains accrue toward $1.
However, traders should ensure that some key boxes are ticked before throwing all their weight behind XRP. For instance, a break above all the bull market moving averages is necessary to confirm a significant recovery.
These include the 21-week Exponential Moving Average (EMA) (red), the 100-week EMA (blue), and the 200-week EMA (purple).
The Money Flow Index (MFI) on the weekly chart shows that there’s a higher inflow volume compared to the volume of funds flowing out of XRP markets. In other words, traders are willing to bet on long positions in XRP as opposed to pushing against the ongoing uptrend.
XRP buyers are likely to keep holding the reins based on the outlook from the daily chart, where the Moving Average Convergence Divergence (MACD) dons a buy signal.
As momentum builds above support at $0.5, confidence in the uptrend tends to build up, resulting in a momentum surge and larger breakout. The 21-day EMA serves as the immediate support. If it holds in place, bulls will have less to worry about and focus mainly on weakening resistance at the 200-day EMA.
Until XRP price flies past resistance at $0.52, it would be premature to assume that more gains are ripe. On the downside, support at $0.5 might keep XRP confined in a narrow range before the next breakout.
Ripple’s Focus on E-Commerce
Ripple is gradually shifting toward e-commerce despite the ongoing regulatory woes in the US. According to Brad Chase, Ripple’s head of liquidity products, institutional adoption of blockchain and crypto-based technologies could push the market to $250 billion by 2030, growing at a CAGR of 54.5%.
Chase recently echoed Ripple’s transformational role in the e-commerce sector by tapping the power of Liquidity Hub-like products, designed to meet the needs of payment enterprises.
Ripple envisions a future where payments are seamless for both customers and e-commerce platforms, hence the need to push for interoperability and streamlining of liquidity to support crypto transactions.
Despite the push for the adoption of Ripple’s Liquidity Hub, only two stablecoins have been added; Tether (USDT) and USD Coin (USDC). Perhaps XRP will be added in the future as the regulatory landscape improves in the US.
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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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