XRP Price On The Cusp of Initiating Another $1-Bound Rally

XRP price bounced back from the support at $0.60 earlier this week but is still doddering in the woods and held back by rising selling pressure at $0.65. The cross-border money remittance token is down a mere 0.3% to $0.6348 on Friday toward the end of the Asian session, with slightly over $1 billion in trading volume and $33.5 billion in market capitalization.

Is XRP and Crypto Immune to CPI

XRP alongside its peers Bitcoin and Ethereum are trading flat a day after the release of the United States Consumer Price Index (CPI) data, which saw a modest increase synonymous with the market watchers’ expectations.

According to the report, the CPI numbers for July ticked up 0.2% while the Core CPI which leaves out food and energy rose 0.2%.

It is unlikely the Federal Reserve will hike interest rates in September, especially with the year-over-year CPI increasing by 3.2% and 4.7% for the Core CPI.

Bitcoin price was down 0.5% to $29,374 while Ethereum hovers at $1,844. Analysts and investors can’t seem to wrap their heads around why crypto prices won’t move, with some calling for a market-changing event such as the approval of a spot Bitcoin exchange-traded fund (ETF).

XRP Buying opportunity – Next Bullish Impulse?

Analyst @jaydee_757 said via X (Twitter) that it is possible to see a bullish eruption in the XRP price, especially now that a rebound is underway from support at $0.62.

Taking advantage of this knee-jerk reaction could mean a rare buying opportunity ahead of the “next impulse move up.”

The analyst likened the current XRP market structure to 2017 ahead of the bull run that saw the native token to Ripple’s payment system soar to $3.40.

Meanwhile, from the four-hour chart, traders start acclimatizing to the ongoing recovery bolstered by a buy signal from the SuperTrend indicator.

After bowing to rising selling pressure that followed the rejection from $0.93 in July, the SuperTrend indicator, which overlays the chart gauging market volatility, has finally flipped bullish.

As long as the SuperTrend trails XRP price, the path with the least resistance will remain to the upside and allow bulls to prepare for the battle at $0.65 – a confluence resistance formed by the 50-day Exponential Moving Average (EMA) (red) and the 100-day EMA (blue).

XRP price recovers to $0.65 from $0.60
XRP/USD four-hour chart | Tradingview

Another buy signal from the Moving Average Convergence Divergence (MACD) further validates the improving market structure. As the MACD line in blue moves above the signal line in red, demand for XRP is bound to increase, subsequently building enough momentum to rally.

A sustained uptrend above $0.65 and consequently the descending trendline would mark the beginning of a $1-bound rally to $0.85 and $1.

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John is a renowned crypto analyst and journalist, providing expert insights into both broad and focused aspects of the digital asset market. As a steadfast reporter, he keeps his audience updated with the latest news in the crypto sphere, delving into topics such as price trends, on-chain data analytics, Non-Fungible Tokens (NFTs), Decentralized Finance (DeFi), Centralized Finance (CeFi), and the ever-evolving metaverse.

The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.

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