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XRP, the fifth largest cryptocurrency by market capitalization, saw a rebound in the week, reaching highs of $0.626 on Nov. 2.
Crypto markets experienced a volatile week as the current rise spread beyond Bitcoin and into smaller-cap assets. Several tokens caught a glimpse of the bull market, rising more than 10% in a week.
XRP, for example, had seven out of eight days in the green and was still in the green at press time. XRP has gained 1.05% in the last 24 hours to $0.614 and has gained 12.58% in the last seven days.
Historically, crypto cycles have followed the pattern of Bitcoin leading the first spike, with capital gradually shifting to lower caps and riskier bets.
This week’s trend suggests this rotation is beginning to take place as Bitcoin and Ethereum move sideways. Despite the rotation into riskier assets, demand for crypto looks to be mostly organic, led by spot buying, according to IntoTheBlock.
This is evidenced by the most recent CoinShares report. As stated, digital asset investment products had $326 million in inflows, the biggest single week of inflows since July 2022. Bitcoin saw 90% of the inflows at $296 million.
The increased optimism has also resulted in considerable inflows into altcoins. In the last week, XRP received $0.2 million in inflows.
What’s next?
If the $0.626 barrier is breached, XRP buyers will attempt to push the price to the next hurdle at $0.67. This level may once again present a significant test to buyers, but if they breeze their way through, the rally might extend to $0.75 and then to $0.85.
If bears want to make a comeback, they’ll have to tug the XRP price back below the MA 200 at $0.5310, from whence it might reach $0.52, which corresponds to the MA 50.
XRP moving averages are expected to make a crossover in the coming days, so traders should keep an eye on this development.
About the author
Tomiwabold Olajide