- Ripple price climbed to $0.60 early on Tuesday, for the first time since August 2023.
- Demand for XRP tokens is on the rise among market participants according to on-chain tracker Santiment.
- XRP price rally is likely to continue after yielding 25% gains to holders in 12 days.
Ripple price (XRP) wiped out its gains after hitting $0.60 on October 31, for the first time since mid August. Crypto traders are awaiting the US Federal Reserve’s interest rate decision for deciding upon the direction of XRP price trend. The XRP/USDT pair on Binance yielded 5.42% gains for holders over the past week.
Developments surrounding US financial regulator, the Securities and Exchange Commission (SEC) Chair Gary Gensler’s comments and Ripple executives’ response, promoted a bullish outlook among XRP holders.
Daily Digest Market Movers: XRP price hits $0.60 for the first time in three months
- XRP price declined after hitting the $0.60 level; traders shifted their focus to the upcoming interest rate decision of the US Federal Reserve.
- Whales were actively involved in influencing XRP price for the past week; the large wallet investors have passed the baton to retail traders this week.
- Between October 18 and 26, whale transactions exceeding $1 million in value hit a three-month high. Whale activity was associated with profit taking and resulted in a correction in XRP. The altcoin resumed its uptrend thereafter.
- The number of wallets holding at least 10,000 XRP tokens, one of the retail trader cohorts, climbed to 277,620 and hit a new all-time high, according to Santiment data.
XRP wallets holding at least 10,000 tokens hit new all-time high
- Three segments of retail traders, holding between 100 to 1,000 XRP, 1,000 to 10,000 XRP, and 10,000 to 100,000 XRP climbed 2.29%, 2.65% and 4.27% respectively, between July 26 and November 1, according to data from Santiment.
Retail segments: 100 to 1,000 XRP, 1,000 to 10,000 XRP and 10,000 to 100,000 XRP climbed
- According to on-chain tracker, Whale Alert, 30 million XRP tokens, valued at upwards of $17.2 million were transferred out of Bybit. Exchange outflow of an asset is typically considered bullish, as it reduces the selling pressure on the token.
Ripple executives criticize SEC Chair
Ripple’s Chief Legal Officer, Stuart Alderoty, criticized SEC Chair Gary Gensler in his Halloween tweet. The executive pointed out that the Congress argues that the US financial regulator requires agency rules to be reviewed by them, and that the SEC has likely ignored the law.
While Mr. Gensler is making bad Halloween jokes on X, his agency is being shamed for ignoring the law that requires agency rules to be reviewed by Congress. Seems the SEC has become the lawless Wild West Gensler loves to talk about so much. https://t.co/WTkyRhyrLy— Stuart Alderoty (@s_alderoty) October 31, 2023
The Congressional Watchdog, the US Government Accountability Office, recently tweeted about the applicability of the Congressional Review Act to Staff Accounting Bulletin No. 121 for the US SEC.
Securities and Exchange Commission—Applicability of the Congressional Review Act to Staff Accounting Bulletin No. 121 https://t.co/meEYEN8QWo— U.S. GAO (Legal) (@usgaolegal) October 31, 2023
Technical Analysis: XRP price could rally 14% if this occurs
XRP price is $0.5864 on Binance at the time of writing. As seen in the price chart below, there is a Fair Value Gap between $0.6682 and $0.6758. The upper and lower levels are expected to act as a resistance for the altcoin, as the XRP price rally continues. The bullish breakout that drove XRP to $0.60 is a sign of an increase in buying pressure and rising demand from retail traders.
The current pullback offers sidelined buyers an opportunity to accumulate the altcoin, ahead of its retest of the $0.6682 barrier. A successful break past $0.6682 will send XRP to $0.6758. The move from $0.5864 (current price) to $0.6682 (FVG) marks a 14% gain from the current price.
XRP/USDT one-day price chart on Binance
Traders need to note that a drop to support at the 23.6% Fibonacci Retracement level at $0.5457 is likely to push the asset lower to its FVG between $0.5320 and $0.5244. This move could invalidate the bullish thesis for XRP price and mark a 9.2% drop in the asset.
Cryptocurrency prices FAQs
How do new token launches or listings affect cryptocurrency prices?
Token launches like Arbitrum’s ARB airdrop and Optimism OP influence demand and adoption among market participants. Listings on crypto exchanges deepen the liquidity for an asset and add new participants to an asset’s network. This is typically bullish for a digital asset.
How do hacks affect cryptocurrency prices?
A hack is an event in which an attacker captures a large volume of the asset from a DeFi bridge or hot wallet of an exchange or any other crypto platform via exploits, bugs or other methods. The exploiter then transfers these tokens out of the exchange platforms to ultimately sell or swap the assets for other cryptocurrencies or stablecoins. Such events often involve an en masse panic triggering a sell-off in the affected assets.
How do macroeconomic releases and events affect cryptocurrency prices?
Macroeconomic events like the US Federal Reserve’s decision on interest rates influence risk assets like Bitcoin, mainly through the direct impact they have on the US Dollar. An increase in interest rate typically negatively influences Bitcoin and altcoin prices, and vice versa. If the US Dollar index declines, risk assets and associated leverage for trading gets cheaper, in turn driving crypto prices higher.
How do major crypto upgrades like halvings, hard forks affect cryptocurrency prices?
Halvings are typically considered bullish events as they slash the block reward in half for miners, constricting the supply of the asset. At consistent demand if the supply reduces, the asset’s price climbs. This has been observed in Bitcoin and Litecoin.
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