XRP Continues to Fall Despite RLUSD Launch; Cryptocurrency Signals Imminent Rise
A euphoria around the XRP It happened last week, with Ripple's cryptocurrency seeing its price soar after the launch of its stablecoin, RLUSD. But, like a rocket that takes off and then starts to fall, XRP couldn't keep up the pace and suffered a strong correction.
With the announcement of the launch of RLUSD, the expectation was that the new stablecoin would further drive demand for XRP, as RLUSD transactions involve burning XRP, reducing supply and theoretically increasing the price. Indeed, XRP took off, reaching a multi-week high.
However, the party was short-lived. The initial euphoria was followed by a sharp correction, which coincided with a broader sell-off in the cryptocurrency market. decision The Federal Reserve's (Fed) decision on December 18 to cut interest rates, although expected, created a wave of uncertainty and led many investors to take profits.
However, amid the current scenario, the cryptocurrency is signaling an imminent bullish potential, according to market experts. Technical analyst Ali Martinez noted on Dec. 19 that the TD Sequential indicator is currently flashing buy signals on the XRP token’s 4-hour charts, suggesting an upcoming price increase.
Recently, Martinez highlighted the recent price action of Ripple’s native token, suggesting that it could see a rally towards $4 soon as it manages to overcome the resistance at $2,60.
In the same sense, analyst Philip (BasicTrading), on TradingView, emphasized his bullish outlook on XRP amid its current sharp decline.
Source: TradingView/BasicTrading“Xrp hasn’t actually created a new all-time high yet and is now starting to reject the previous major all-time high resistance. Momentum is still very strong so it’s quite likely that the bulls will continue to push, but if Xrp closes with a significant rejection wick, we could see another consolidation before the breakout.”
According to the expert, the price levels to watch for XRP are $3,0 and $5,0. At the time of publication, the price of XRP was quoted at $2,29 with a 7.8% drop in the last 24 hours.
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
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