• 28 May, 2024

XRP Shows Bullish Signals: Could It Be Time to Go Long?

According to the latest analysis report from Coinalyze, Ripple’s XRP displayed a promising 8.5% rebound from the $0.48 price zone, extending its range-bound movement. This surge pushed XRP beyond the critical $0.5 mid-range point, potentially setting the stage for a bullish breakout from its current price range.

Bitcoin’s swift rally above $29,000, coupled with the Securities Exchange Commission (SEC) dropping its lawsuit against Ripple executives, injected a fresh wave of optimism into the market. Market analysts pointed out a growing bullish sentiment, emphasizing the increasing Open Interest and Spot Cumulative Volume Delta (CVD). 

The bullish bias became even more clear as the Chaikin Money Flow (CMF) moved into positive territory, registering a reading of +0.12. This indicated a healthy influx of capital into XRP, as buyers eagerly embraced the positive sentiment surrounding the altcoin. 

With XRP trading above the mid-range point of $0.50, a candle close above this level on higher timeframes could trigger a surge in buyer activity. Moreover, if the obstacle at $0.556, representing the range-high hurdle, was overcome, it could pave the way for a robust rally toward the $0.6 to $0.65 price zone.

The Relative Strength Index (RSI) corroborated the rising buying pressure, climbing above the neutral 50 mark and posting a reading of 65. This signified a strong bullish momentum building up for XRP.

Additionally, the surge in Open Interest (OI) provided further validation of the bullish bias surrounding XRP. According to Coinalyze data, OI experienced a remarkable 15.6% increase within the past 24 hours, soaring from $363 million to $409 million. Traditionally, a simultaneous rise in OI and price serves as a signal for potential bullish gains.

Furthermore, the Spot CVD, which commenced its ascent on October 9, continued its upward trajectory. This sustained increase reflected the persistent demand for XRP, hinting at the possibility of additional gains for short-term buyers.

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