XRP, the cryptocurrency tied to Ripple’s payment network, has surged 64% since the start of July, marking its most significant rally in four months. The sudden surge has fueled bullish sentiment and speculation among traders and analysts, who are closely watching the token’s price movements and underlying market factors.
The token rallied from a local low of $0.3825 to trade for $0.6140 at the time of writing, according to data. With the recent rally, XRP broke above notable resistance levels, including the descending trendline from March 2024.
Meanwhile, signals from the XRP/USD weekly chart on TradingView show the altcoin has climbed above the 0.236 and 0.382 Fibonacci levels from the July 2023 pullback. This is a long-term indicator that could signal sustained momentum in the current rally. However, the rapid pace of the rally has also triggered curiosity among crypto analysts eager to understand the factors driving this notable price behavior.
XRPUSD Weekly Chart on TradingView
Notably, unfolding events in the digital assets sector have contributed to the recent crypto market rally, particularly the surge in XRP’s price. Reported data show that Open Interest in XRP futures nearly doubled over the past week, indicating traders anticipate price volatility ahead. During this period, XRP surged 42%, with the bulls showing signs of sustained momentum in the upward price movement.
According to Alex Kuptsikevich, a senior market analyst at FxPro, XRP has significantly benefited from the recent sentiment shift in crypto. However, he predicts that the altcoin’s price could encounter some resistance soon, potentially leading to consolidation.
In the meantime, XRP’s recent gains coincided with the introduction of indices and reference rates for the altcoin by CME and CF Benchmarks. The Open Interest futures value in XRP climbed above $780 million, with over 60% of recent positions being long.
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