XRP surpassed the $0.60 mark, but likely to face resistance

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As a seasoned analyst with over two decades of market experience under my belt, I have learned to read between the lines and navigate the volatile crypto landscape with caution. While Ripple’s (XRP) impressive rally is undeniably captivating, it’s essential to exercise prudence when interpreting such short-term price surges.

Over the last day, Ripple experienced a significant surge, however, it could encounter obstacles due to temporary profit-taking in the near future.

In the last 24 hours, Ripple (XRP) has increased by 18% and is currently priced at $0.605. Earlier today, at 21:30 UTC on August 7th, it peaked intraday at $0.64. This surge in price was accompanied by a significant increase in daily trading volume, which spiked 210% and exceeded the $5 billion threshold.

XRP surpassed the $0.60 mark, but likely to face resistance

XRP’s market cap is currently sitting at $33.8 billion, closing the gap with USDC’s $34.5 million.

Based on Santiment’s data, we saw a rise in the number of large XRP transactions – from 869 to 935 unique ones worth over $100,000 each – within the last 24 hours. This uptick in trading activity by major players might suggest that XRP could experience significant price fluctuations in the near future, given its status as the seventh-largest cryptocurrency.

XRP surpassed the $0.60 mark, but likely to face resistance

Market intelligence data indicates a rise in the XRP‘s Relative Strength Index, which climbed from 41 to 57. This suggests that XRP might be somewhat overvalued at its current price level, as indicated by the RSI indicator.

Additionally, the amount of XRP in profit within its total supply rose from approximately 70.46 billion on August 5 (when it was trading at $0.43) to 77.49 billion currently. Given the ongoing volatility in the crypto market, it’s likely that short-term traders will attempt to cash out their profits.

Towards the final week of July, there was much anticipation among investors about a significant surge in XRP prices. However, this potential breakout was abruptly halted due to escalating geopolitical conflicts in the Middle East and mounting fears of an economic recession in the U.S.

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2024-08-08 10:18