XRP holders had a Tuesday they won’t easily forget, as the price of the token managed to surpass $1 for the first time in the last three years, taking its market valuation to $47 billion. Also, the cryptocurrency has broken out against the BTC pair, leading to significant technical momentum.
Can this be considered a technical rally?
Over the past days, when XRP was still hovering around $0.75, many cryptocurrency traders observed that the coin had a bullish behavior.
“Not for nothing, $XRP technically has taken all necessary strides to be bullish. After the exchange delistings and write-off by most of CT, this essentially left the market short from both a positional and sidelined standpoint. This can move much higher,” believes Cantering Clark, cryptocurrency derivatives trader.
And he wasn’t the only one, as well-known trader Kaleo, considers XRP’s breakout against BTC optimistic.
“$XRP / $BTC is about to break out of a 3+ year downtrend. Zero exposure here seems irresponsible. When this sh*tcoin starts to pump, it makes vertical moves (aka all at once for a burst. Still very early.”
It’s all about social volume
It is believed that one of the main catalysts behind XRP’s rise could be its constantly growing social volume. And if it keeps gaining traction, while the technical structure of the token remains intact, this good momentum could take it to the next major resistance area.
Back in 2018, when Ripple’s cryptocurrency reached its all-time high, of over $3.5, it was considered one of the most promising tokens of the moment, mostly due to its use case and the increasing number of big names in the financial world mentioning it when it came to their future plans. As for now, it will be very interesting to see if banks or any other institutions will indeed use XRP in the near future!