XRP has been trapped in a tight consolidation pattern for the past few days and its recent parabolic rally slowed as the bulls struggled to break above resistance in the upper region of $ 0.60.
The cryptocurrency’s recent rally came after it broke a long-term trading range between $ 0.20 and $ 0.30 that lasted for several years.
One trend that gave crypto room to rally was the fact that Ripple – the company closely associated with the XRP token – stopped outsourcing its holdings on a quarterly basis, which previously created a strong headwind for the cryptocurrency.
Additionally, an upcoming token airdrop that XRP holders are receiving was also a catalyst for the uptrend.
It is now facing strong resistance in the middle of the $ 0.60 region that must be broken before moving any further. Still, the mounting hype that surrounds it seems to suggest that an uptrend is imminent.
A trader is now aiming for a move towards $ 1.00 and finds that his technical strength coupled with the increasing hype surrounding the upcoming airdrop could hit and fuel that next leg.
XRP stabilizes at $ 0.60 when the crypto market momentum falters
At the time of writing, XRP is trading a little over 1% at its current price of $ 0.60. This roughly corresponds to the price at which the cryptocurrency was traded in the past few days.
After the recent surge to highs of $ 0.90, the cryptocurrency has been in a tight and relentless phase of consolidation.
Until Bitcoin can resume its rally and hit new all-time highs, altcoins like XRP could continue to see stagnant price movements.
Analyst: XRP is likely to rise as momentum increases
A dealer is expect The price of XRP is expected to consolidate further before another massive surge is recorded. Specifically, he sees a move towards USD 0.97.
According to him, the upcoming Flare Networks Spark Token for XRP holders could also be an upward trend.
“XRP appears to be gearing up for a move towards .93-.97c imo. Below were the lows. Airdrop comes in expecting a little more Fomo to bring in. “
Image Courtesy of Pentoshi. Source: XRPUSD on TradingView.
The days ahead should shed some light on XRP’s near-term outlook as any Bitcoin weakness could invalidate its bullish outlook and lead to downward moves.
Featured image from Unsplash. Charts from TradingView.