Will XRP Price Stay Bullish? Targeting $1 As XRPL TVL Plunges

Will XRP Price Stay Bullish Targeting $1 As XRPL TVL Plunges

XRP price is setting a new footing as it continues with the bullish leg during the Asian session on Monday. Interest in the cross-border money remittance token is rising, especially with open interest and derivatives volume increasing concurrently.

XRP Price Market Movers: Open Interest, Volume and XRPL TVL

  • XRP price will likely retest $0.6 resistance in the American session if support at $0.58 holds. Several factors back the bullish outcome, including major increases in the futures open interest by 1.62% to $649 million, volume by 113% to $1.64 billion, and a staggering 212% to $2k in the options volume, Coinglass data revealed.
  • The surge in XRP futures and options volumes and OI signals heightened market activity and volatility. This could indicate increasing investor interest and immense potential for significant Ripple price movement. For these factors to remain bullish, buyers must control prevailing market sentiment in their favor.
XRP futures market data | Coinglass
XRP futures market data | Coinglass
  • The XRP Ledger (XRPL) dramatic decentralized finance (DeFi) total value locked (TVL) decline from $13.2 million to $260k is a bearish signal for XRP, as per Defi Llama. Note that reduced DeFi activity can dampen investor sentiment and potentially lead to a slump in demand for XRP. It may exert downward pressure on the XRP price unless offset by other positive factors like a stronger technical macroeconomic structure.
Ripple DeFi TVL | Defi Llama
Ripple DeFi TVL | Defi Llama

Ripple Price Analysis: Bulls Take Control

XRP price is inching closer to breaching $0.6 resistance. The token sits on support at $0.58 with a descending trendline providing additional support marginally below. It is worth noticing that XRP breaking $0.64 could ignite a rally toward $0.7, boosting overall optimism.

The Moving Average Convergence Divergence (MACD) reinforces the bullish thesis with a buy signal and holding above the neutral zone. Green histograms toward the positive region as a sign of relief to investors who feared a possible downswing to $0.5.

XRP sits on top of all three short-term moving averages, including the 20-day, 50-day, and 200-day EMA. The crossover of the 20-day EMA above the 50-day EMA suggests pressure building behind Ripple to support a modest recovery above $0.6.

XRP price chart | Tradingview
Ripple price chart | Tradingview

Traders will look for a break above $0.6 to validate the uptrend. However, should XRP price fail to close above this crucial level, a retest of $0.58 support may follow. Further price movement will depend on key macro factors, how markets react to the FOMC meeting minutes, and Fed Chair Jerome Powell’s speech at the Jackson Hole Economic Policy Symposium in Wyoming.

The post Will XRP Price Stay Bullish? Targeting $1 As XRPL TVL Plunges appeared first on CoinGape.


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