In recent days, Ripple’s native token, XRP, has seen significant gains, pushing its value past the $1.5 mark for the first time since 2021. This upward momentum has sparked optimism among traders and analysts, with predictions suggesting the rally is set to continue. As the token approaches the next resistance level of $2, market participants are eagerly watching its performance.
XRP vs BNB: The Battle for 5th Position
XRP’s recent price surge has brought its market capitalization close to that of Binance Coin (BNB), setting the stage for an intense rivalry. Currently, XRP’s market cap is approximately $91.42 billion, trailing BNB’s $91.76 billion by a mere $34 million. This close competition suggests that XRP could soon surpass BNB to become the fifth-largest cryptocurrency globally.
Several factors are fueling XRP’s notable rally. These include its strong price movements, the announcement of the resignation of Securities and Exchange Commission (SEC) Chair Gary Gensler, a wave of positive market sentiment, and significant acquisitions by crypto whales.
XRP Technical Analysis and Upcoming Levels
Technical analysis indicates that XRP has successfully breached a strong resistance level at $1.38. This breakthrough suggests that the altcoin is primed for a further rally. Analysts project a potential increase of 35%, which could see XRP reaching the $2 mark.
Currently, XRP is trading above the 200 Exponential Moving Average (EMA) on daily charts, signaling an ongoing uptrend. However, the Relative Strength Index (RSI) shows that the token is in an overbought zone, hinting at a possible price correction in the near future.
Bullish On-Chain Metrics
Beyond technical analysis, on-chain metrics also paint a positive picture for XRP. Data from CryptoQuant reveals that exchange reserves of XRP are steadily declining, indicating an accumulation trend among investors. This decline in reserves is often seen as a bullish signal, suggesting potential buying opportunities.
Additionally, trader interest in XRP remains robust. Coinglass reports a 32% surge in open interest (OI) over the past 24 hours and a 12% increase in the past four hours. This uptick in OI demonstrates aggressive trader participation following XRP’s recent breakout.
Current Price Momentum
As of the latest reports, XRP is trading around $1.60, marking an impressive 27% gain in the past 24 hours. This surge is accompanied by an 80% increase in trading volume, reflecting heightened involvement from traders and investors amid a bullish sentiment. The current momentum underscores the growing confidence in XRP’s potential to reach new heights.
