XRP, one of the highly investable cryptocurrencies, has shown an impressive recovery increasing its trading volumes by almost 191%. The prices reached $3.60, but subsequent profit-taking led to a temporary decline.
XRP Recovery in the Cryptocurrency Market
XRP managed to perform an impressive recovery reaching $3.60 after remaining in the range of $2.30 to $2.80 for several months. When the prices decreased near the support level at 26 EMA (around $3.03), buyers re-entered the market pushing the price back above $3.30.
Technical Indicators and Analysis
The 200 EMA and 50 EMA are both trending upward and indicate a structurally strong uptrend. The Relative Strength Index (RSI) has cooled from overbought conditions while remaining above the midline. Data from the derivatives market also support the bullish thesis.
Future of XRP and Potential Obstacles
XRP's trading volume surged by 194.24% to $18.16 billion over the last day. New investments show active interest from traders. However, to reach $5, XRP needs to maintain strong buying momentum above the psychological mark of $4.00. If the price declines below $2.90, it could question the current bullish outlook.
XRP showcases strength in the cryptocurrency market, but potential risks should be considered. Support above $3.00 in the near term will be a defining factor for further price movements.
