- Technical indicators hint at a gradually building momentum for XRP, which could push its price to a $4.44-$5 peak.
- South Korean exchanges absorbed much of the selling pressure, potentially cushioning the asset from further dips.
XRP continued to struggle at the $2.80 mark on Sunday, leaving traders and investors on the edge of their seats. Despite its lackluster price performance after an eight-year peak in July and dropping once again to the fourth place of the top cryptocurrency rankings by market cap, community sentiment remains optimistic about the things to come.
Latest Developments Point to a $5 Peak in XRP Price
CoinDesk recently painted a silver lining on the status of XRP. It turned out that traders and investors have transformed $2.85-$2.86 into an accumulation zone following a bounce from a key support at $2.77. This is a reprieve from earlier warnings that the token may undergo further corrections at the $2.55-$2.65 level. If it does not lose momentum, the digital asset’s next key resistance for people to watch out for is $2.91, with $3.02 as a dominant resistance where it has experienced multiple rejections.
The report claimed that South Korean exchanges absorbed much of the sell pressure, cushioning the market from deeper corrections. Over the weekend, these platforms accumulated over 16 million XRP, which somehow eased tension and helped stabilize the token’s value.
Historically, South Korea has been a key driver of speculative crypto trading, which has heavily influenced the broader crypto market. Called the “Kimchi Premium,” the phenomenon often leads to a significant gap between crypto prices in the country’s exchanges compared to its foreign counterparts. Analysts attributed the event to a growing regional institutional demand amid the ongoing dumps from retail wallets.
Coupled with an impending bullish crossover in the Moving Average Convergence/Divergence histogram and recovery momentum in the Relative Strength Index (RSI) from near oversold at 42 to the mid-50s of the scale at neutral, the source believes XRP price is primed for a $5 climb in the near term.
Another Analyst Suggests a $4.44 Rally
The pseudonymous Egrag Crypto, a technical analyst, has a tamer estimate at $4.44 for XRP soon. During the weekend, he confirmed that the crypto asset is still consolidating within a symmetrical triangle in the three-day trend, wherein its trajectory is favoring a potential breakout to the upside to a $4.44 top.
The narrowing pattern suggests a $3.20 launchpad for the much-anticipated rally. However, the analyst warned that traders and investors should be more vigilant at this critical juncture because the price veering away from the three-day chart or closing below $2.55 could negate the bullish expectations.
Reminders: These forecasts are only based on facts compiled from reputable or reliable sources. They do not necessarily reflect the views of the author or Blockzeit. Therefore, readers should not base their trading or investment decisions entirely on the limited information provided here without consulting their own financial advisers.
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