XRP price suggests bullishness as Ripple CEO credits the community with lawsuit win
- Ripple CEO Brad Garlinghouse stood in agreement with a report that suggested that the XRP community was the most influential entity in 2023.
- XRP price moving sideways is most likely a sign of potential recovery on the horizon.
- Ripple whales have been consistently accumulating for the past three weeks, adding to the probability of a rise.
XRP price greatly benefitted from the partial win it attained in the lawsuit filed by the Securities & Exchange Commission (SEC). However, Ripple’s CEO decided that the credit largely goes not to himself or the company but to its supporters.
Daily Digest Market Movers: Ripple CEO credits XRP army
Ripple CEO Brad Garlinghouse took to X, formerly Twitter, to respond to a report by CoinDesk crowning him as one of the most influential people in 2023. The executive was less in agreement with the title than the unwavering support throughout the court proceedings. Garlinghouse tweeted,
"2023 Most Influential award should be given not just to Garlinghouse, but also the entire XRP Army."
I couldn't agree more!
The Ripple CEO has iterated this statement in the past as well. Along with him, CTO David Schwartz has credited the XRP Army with making the court win possible.
Technical Analysis: XRP price prepares for recovery
XRP price is trading at $0.622 and is presently moving sideways, building up toward a recovery that has been due since early November. The native Ripple token corrected by almost 20% at the beginning of last month, following a 31% rally toward the end of October, which XRP aims to recover going forward.
The Relative Strength Index (RSI) and Moving Average Convergence Divergence (MACD) indicators are exhibiting potential bullish momentum. The RSI is lurking above the neutral line marked at 50.0, and the MACD is close to executing a bullish crossover.
This would mostly set the XRP price in an uptrend, targeting the breach of the $0.644 resistance level. Flipping this price into a support floor is crucial for a further rise toward $0.700.
XRP/USD 1-day chart
Nevertheless, a failed breach would point toward a potential decline, which would send the XRP price to $0.600. Losing this support line would invalidate the bullish thesis, resulting in a crash to $0.551.
Ripple whales support a rally
Ripple whales have been adding to their wallets for the past three weeks, bringing their holding to 6.73 billion XRP. Addresses holding 100,000 XRP to 1 million XRP have noted an increase of 60 million XRP worth over $31 million since November 15.
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Ripple whale accumulation
These addresses hold significant influence on the price action and have historically proven to be a catalyst as well. Their accumulation tends to push the XRP price upward, and the sell-off results in the value of the token declining. Thus, the fact that their present sentiment is adding instead of removing from their wallets is a positive sign for Ripple investors.
Cryptocurrency metrics FAQs
What is circulating supply?
The developer or creator of each cryptocurrency decides on the total number of tokens that can be minted or issued. Only a certain number of these assets can be minted by mining, staking or other mechanisms. This is defined by the algorithm of the underlying blockchain technology. Since its inception, a total of 19,445,656 BTCs have been mined, which is the circulating supply of Bitcoin. On the other hand, circulating supply can also be decreased via actions such as burning tokens, or mistakenly sending assets to addresses of other incompatible blockchains.
What is market capitalization?
Market capitalization is the result of multiplying the circulating supply of a certain asset by the asset’s current market value. For Bitcoin, the market capitalization at the beginning of August 2023 is above $570 billion, which is the result of the more than 19 million BTC in circulation multiplied by the Bitcoin price around $29,600.
What is trading volume?
Trading volume refers to the total number of tokens for a specific asset that has been transacted or exchanged between buyers and sellers within set trading hours, for example, 24 hours. It is used to gauge market sentiment, this metric combines all volumes on centralized exchanges and decentralized exchanges. Increasing trading volume often denotes the demand for a certain asset as more people are buying and selling the cryptocurrency.
What is funding rate?
Funding rates are a concept designed to encourage traders to take positions and ensure perpetual contract prices match spot markets. It defines a mechanism by exchanges to ensure that future prices and index prices periodic payments regularly converge. When the funding rate is positive, the price of the perpetual contract is higher than the mark price. This means traders who are bullish and have opened long positions pay traders who are in short positions. On the other hand, a negative funding rate means perpetual prices are below the mark price, and hence traders with short positions pay traders who have opened long positions.
Author
Aaryamann Shrivastava
FXStreet
Aaryamann Shrivastava is a Cryptocurrency journalist and market analyst with over 1,000 articles under his name. Graduated with an Honours in Journalism, he has been part of the crypto industry for more than a year now.
