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XRP, the fourth largest cryptocurrency by market capitalization, rebounded from lows of $1.90 on March 11 after declining four consecutive days previously.
Following its rebound on March 11, XRP has risen for four consecutive days, and today will be the fifth if it closes in green. At the time of writing, XRP was up 5.62% in the last 24 hours to $2.43.
XRP's price bounce coincides with the relief rally across various digital assets following a sell-off at the start of the week. Bitcoin rose from a four-month low earlier this week, as did other risky assets, following the recent turbulence on global markets. Bitcoin topped $85,000 at one point on Friday, and XRP rose nearly 8% at one point.
XRP gains momentum amid market downturn
The crypto summit held last week, the inclusion of Bitcoin and a digital asset reserve in an executive order and the dismissal of multiple lawsuits against major crypto firms provided a small boost to cryptocurrency prices. Investors remained focused on macroeconomic events such as inflation, triggering a market sell-off.
Tomiwabold OlajideOn-chain analytics platform Santiment noted in a recent report that good news amid the disappointing crypto market performance in recent weeks is that there are some signs of altcoin rebounds happening.
Santiment names XRP among large-cap coins that have quietly gained momentum (including price dominance on Bitcoin), while BTC's market value ranges between $78,000 and $84,000.
What's next?
Following days of consistent rises, which touched highs of $2.47 in Saturday's session, XRP may briefly consolidate before attempting to break higher. On the upside, XRP faces its next barrier at the daily SMA 50 at $2.54. If XRP can turn this crucial level back into support, it could aim for $3 again.
Arman ShirinyanOn the contrary, if the XRP price turns down from its current levels, it might suggest that market sentiment remains negative. XRP may retest the critical $2 support level, and if this level is broken, it might complete a bearish head-and-shoulders pattern, bringing it down to $1.28.
Meanwhile, XRP is trading between its daily moving averages of 50 and 200 at $2.54 and $1.63, with a break in either direction indicating the direction of XRP's next price move.
Vladislav Sopov
Dan Burgin