XRP has capitalized on the recent cryptocurrency market rally triggered by the Federal Reserve interest rate cut. Still, the token continues to struggle to maintain its price above the $0.60 support zone, with artificial intelligence (AI) offering a glimpse of what to expect in the coming days.
Indeed, XRP has consolidated below $0.60 despite the token being backed by other bullish sentiments, specifically from regulatory aspects.
As things stand in the Ripple and Securities Exchange Commission (SEC) case, the recent ruling, where the blockchain firm was fined $125 million for violating U.S. securities laws, has minimized the chances of XRP being reclassified as a security.
AI predicts XRP’s price
In this regard, Finbold turned to the advanced AI algorithm leveraged by the crypto market analytics and forecasting platform PricePredictions to determine XRP’s price for October 1. According to the platform, XRP will likely see bullish momentum and trade at $0.66, an 11% increase from the token’s value at press time.
Notably, the AI model relies on technical analysis (TA) indicators such as moving average convergence divergence (MACD), Bollinger Bands (BB), and relative strength index (RSI).
Experts take on XRP
On the other hand, several analysts have offered their outlook on XRP. For instance, in an X post on September 21, Dark Defender pointed out that technical indicators suggest the token will likely target $1 in the near term.
The analysis suggested that a breakout above $0.6649 could set the stage for a broader move if XRP sustains momentum and rises above the next psychological level of $1.03.
This point has been a key area of resistance, notably traced back to the January 2018 highs, and eliminating this barrier could open the door to further gains.
Finally, Egrag Crypto observed that XRP depicts resilience as it continues to hold above the Fibonacci 1.618 level from the previous cycle. Currently being tested on the monthly chart, this level plays a notable role in the overall structure of XRP’s long-term price movements.
According to the expert, losing this Fibonacci support could have catastrophic consequences, potentially signaling a deeper retracement for the cryptocurrency.
However, there is optimism as XRP has been steadily retracing in a MACRO Wave 4 since 2017, following Elliott Wave Theory. If the trend holds, XRP could be preparing to enter a massive MACRO Wave 5, which may push its price into the double-digit range.
XRP price analysis
XRP was trading at $0.59 by press time, gaining almost 2% in the last 24 hours and about 1.6% in the past seven days.
The token is trading above its 50-day simple moving average (SMA) of $0.5647 and its 200-day SMA of $0.5492. This positioning signals a bullish trend in the short and long term, as the price remains above these important moving averages, often serving as support levels.
Additionally, the 14-day relative strength index (RSI) is at 61.76, suggesting that while XRP is gaining momentum, it is not yet in the overbought territory. This indicates there is still potential for further price increases.
As XRP hovers near the $0.60 level, onchain data suggests that whales are increasingly accumulating the token. As of September 19, the large holders purchased over 380 million XRP worth $228 million in 10 days, Finbold reported.
In conclusion, XRP is signaling promising bullish momentum despite facing the sustained challenge of holding its price over the $0.60 support area. As the market sentiment and technical trends align, it can be deduced that the token may be gearing up for an upside move, although there are risks, such as a general market sell-off.
Disclaimer: The content on this site should not be considered investment advice. Investing is speculative. When investing, your capital is at risk.
Source: https://finbold.com/ai-predicts-xrp-price-for-october-1-2024/