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XRP sharply rose toward the weekend as the markets weighed the possibility of a rate cut at the upcoming Fed meeting in September, following Fed Chair Jerome Powell's dovish statement at the recently concluded annual Jackson Hole symposium in Wyoming.
XRP surged from $2.78 to reach $3.10 on Friday as buyers bought the dip amid renewed Fed optimism. The surge also coincided with recent positive developments in the Ripple SEC lawsuit. On Friday, news revealed that the Joint Stipulation of Dismissal of Appeals in the Ripple case has been approved by the Second Circuit, marking an official closure to the nearly five-year litigation.
However, markets retraced as investors took profits, with XRP entering its second day of drop since Aug. 22.
At the time of writing, XRP was down 0.76% in the last 24 hours to $3 and down 3.97% weekly.
Bulls not giving up
The positivity amid the recent price decline is that XRP has held above $3 despite bears' attempt.
On Saturday, XRP's price fell to $2.96 but afterward rebounded, returning above $3. Bears attempted a similar feat in the early Sunday session, with XRP price dropping to $2.99 before rebounding to $3.
According to crypto analyst Ali, XRP is in the middle of a rebound, which might target $3.60. As long as XRP sustains above $3, this possibility remains.
Momentum indicators such as the daily RSI hint at the likelihood of consolidation, currently at the 50 mid-point.
In the event of a drop, XRP might aim for support first at $2.96 before $2.78.
Dan Burgin
Vladislav Sopov
U.Today Editorial Team