|

Can XRP price kick-start 30% upswing if China removes zero-Covid restrictions?

  • XRP price struggles with the $0.400 hurdle as it attempts to flip it into a support level.
  • If China lifts its zero-Covid restrictions, it could trigger a rally in risk-on assets.
  • The remittance token could embark on a 30% rally to collect the buy-stop liquidity resting above $0.510.

XRP price shows that it is taking its sweet time to overcome and sustain above a crucial resistance level. If successful, it could catalyze a quick run-up. However, the lack of volatility in crypto markets has made it impossible for the remittance token to do this by itself.

A change in China’s Covid policy breathes hope

The much-needed volatility might come in the next two hours. A news conference is likely to be held at 0700 GMT in Beijing by the Joint Prevention and Control Mechanism of the State Council in China. There are speculations that China might announce lifting its zero-Covid policy. This development could ease the tensions among investors who moved to safe-haven assets after protests broke out in China.

China state affiliated media

If there is an announcement that confirms the lifting of the zero-Covid policies, it could provide a bullish push for risk-on markets, including cryptocurrencies.

XRP price ready to make a move

XRP price sliced through the $0.400 hurdle on November 22 but failed to sustain above it. As a result, the altcoin slipped below the aforementioned level. Bullish rumors from China could bring much-needed volatility with it, triggering a successful breakout.

In such a case, XRP price will aim to collect the buy-stop liquidity resting above the $0.510 equal high. This move would constitute a 30% upswing and is likely where the upside is capped for the remittance token.

XRP/USDT 1-day chart

XRP/USDT 1-day chart

On the other hand, if XRP price fails to hold above the $0.379 support level, it will invalidate the bullish thesis. This development could see the remittance token slide to the $0.316 foothold, where buyers can band together and scoop XRP at a discounted price.

Author

Akash Girimath

Akash Girimath is a Mechanical Engineer interested in the chaos of the financial markets. Trying to make sense of this convoluted yet fascinating space, he switched his engineering job to become a crypto reporter and analyst.

More from Akash Girimath
Share:

Markets move fast. We move first.

Orange Juice Newsletter brings you expert driven insights - not headlines. Every day on your inbox.

By subscribing you agree to our Terms and conditions.

Editor's Picks

BNB Price Forecast: BNB slips below $855 as bearish on-chain signals and momentum indicators turn negative

BNB, formerly known as Binance Coin, continues to trade down around $855 at the time of writing on Tuesday, after a slight decline the previous day. Bearish sentiment further strengthens as BNB’s on-chain and derivatives data show rising retail activity.

Top Crypto Losers: Aster, Midnight, and Ethena extend losses as selling pressure mounts

Aster, Midnight, and Ethena are the altcoins with the most losses over the last 24 hours, as the broader cryptocurrency market weakens amid Bitcoin dropping below $86,000. ASTER, NIGHT, and ENA risk further losses as selling pressure mounts and risk-off sentiment spreads across the crypto market.

Ethereum Price Forecast: BitMine acquires 102,259 ETH as price plunges 5%

Ethereum (ETH) treasury company BitMine Immersion scaled up its digital asset stash last week after acquiring 102,259 ETH since its last update. The purchase has increased the company's holdings to 3.96 million ETH, worth about $11.82 billion at the time of publication.

Strategy scoops about $1 billion in Bitcoin for second consecutive week

Bitcoin (BTC) treasury and financial intelligence firm Strategy expanded its holdings following another round of weekly accumulation.

Orange Juice Newsletter – Smart insights by real people. Every day.

A free newsletter highlighting key market trends to help traders stay a step ahead. Daily insights on the most relevant trading topics, compiled by our experts in an easy-to-read format so you never miss an important move.

Bitcoin: Fed delivers, yet fails to impress BTC traders

Bitcoin (BTC) continues de trade within the recent consolidation phase, hovering around $92,000 at the time of writing on Friday, as investors digest the Federal Reserve’s (Fed) cautious December rate cut and its implications for risk assets.