XRP Price Movement and Market Trends
Understanding XRP’s Recent Price Dip
XRP experienced a notable decrease of 5.28%, resulting in $10.7 million in long liquidations. This decline came after the cryptocurrency reached a peak of $2.29 on April 23, only to fall below significant support levels. The fluctuation in XRP’s price suggests a potential period of sideways trading, akin to the patterns observed in Bitcoin and gold.
XRP’s Journey Amidst Market Changes
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Following Bitcoin’s rally, which marked a shift from its usual correlation with stock markets to a closer tracking with gold, XRP surged on April 23. This surge saw the token climb above $2.20, nearing $2.30, reminiscent of highs not seen since January. Despite this promising ascent, XRP soon joined Bitcoin and gold in a corrective phase, as it struggled to maintain its peak just above $2.29.
By April 24, XRP’s value had retracted to $2.16, representing a 5.28% drop within a 24-hour period, which resulted in long positions worth $10.7 million being liquidated. Data sourced from Coinalyze highlighted this significant liquidation event.
Market Dynamics and XRP’s Position
Despite XRP’s correction, it still showed a 2.69% gain on the weekly chart, with short positions liquidated amounting to a modest $1.4 million over the last 24 hours.
Will the XRP Rally Resume?
Contrary to its upward movement on April 23, XRP seemed poised for further decline by April 24. The relative strength index (RSI) hit 56.65, suggesting a potential overbought condition for the token. Trading at $2.16, XRP fell below its prior support at $2.18, risking further decline towards $2.14. Even if it rebounds, the nearest resistance remains at $2.28.
XRP’s Potential Consolidation Range
As long as XRP maintains a value above $2.08, it may consolidate between $2.12 and $2.29. This range leaves room for both upward and downward movements.
Could Gold and Bitcoin Predict XRP’s Next Move?
XRP’s recent trading behavior suggests it might continue to trade sideways. A notable correlation has emerged among gold, Bitcoin, and XRP, where each asset lags slightly but mirrors the performance of the others. Gold reached an all-time high above $3,500 on April 22, plummeted below $3,300 on April 23, and then rebounded above $3,360 by April 24. Meanwhile, Bitcoin surged past $95,000 on April 23, dipped below $92,000, and then rose again above $93,500. By April 24, it settled around $92,725.
XRP followed suit, climbing to $2.29 shortly after Bitcoin’s peak, then dropping to $2.12 early on April 24. By press time, it had recovered to $2.16. Investors might anticipate a new high around $2.20, followed by a potential decline to $2.17 or $2.18, should this mirroring trend persist.
