- XRP price declines on Friday, lagging the rally seen in Bitcoin and many other altcoins.
- XRP noted a large volume of inflows, signaling a bullish shift in sentiment among market participants.
- Social interest in the asset has reset to a monthly low as retail investors await the outcome of the SEC lawsuit.
XRP loses ground on Friday, ending a week in which Ripple’s token has registered gains as the market mood was broadly optimistic. Still, XRP’s performance lags behind the double-digit increases for Bitcoin (BTC) or Ethereum (ETH) as uncertainty regarding the outcome of Ripple’s lawsuit against the US Securities and Exchange Commission (SEC) weighs.
Also read: Pro Ripple attorney John Deaton finds legal provision that could have avoided SEC lawsuit
XRP gains new friends
XRP price traded at $0.4922 at the time of writing, a 3.5% decline in the last 24 hours. Over a week, Ripple’s token is up around 3%. Even though the recovery isn’t substantial, the altcoin is potentially gearing up for a run-up towards the 2023 high closing price of $0.54 reached at the end of March, provided it continues to receive support from its newfound allies.
This week the crypto market noted a rise in interest from institutional investors and financial giants like BlackRock, WisdomTree and Invesco, with their recent spot Bitcoin ETF filings. Despite still recording outflows, XRP stood out as one of the most preferred assets, racking up inflows worth $1.1 million against the rest of the digital assets as of June 16.
Institutional interest in digital assets
If this interest persists during the week ending June 23, the Ripple token might have the key to charting fresh gains in its hand. As is, the Relative Strength Index (RSI) and Moving Average Convergence Divergence (MACD) are closing in on indicating bullish signals.
Once RSI tests the neutral line as support and MACD notes a bullish crossover with the MACD line (blue) moving over the signal line (red), bullish momentum could begin.
XRP/USD one day chart
Since retail investors' interest is waning at the moment, this is the only hope left for the XRP price to register increases in profits. The social appeal of the altcoin is already at a monthly low after peaking around June 8.
XRP price broke out of its two-month long downtrend. The altcoin rallied past the key psychological level of $0.50 and hit a peak of $0.5276 on Thursday. The next target is XRP’s local high of $0.5658. At the time of writing, the altcoin is above its three long term Exponential Moving Averages (EMAs), 10, 50 and 200-day at $0.4967, $0.4946 and $0.4921.
XRP/USDT one day price chart on Binance
The three EMAs are likely to act as support for the altcoin in the event of a decline in its price.
XRP’s social dominance peaked at 4.87% on June 1, but fell to 0.99% since then. This 4.87% here represents the entire social interest in the altcoin for every 100 queries regarding crypto, on different platforms. The metric is used to assess the relevance of the altcoin in the crypto community, showing declining interest among market participants.
Social dominance XRP
The only way this interest could be revived is if the SEC lawsuit against Ripple reaches its conclusion soon and is in favor of the latter. That would trigger a wave of bullishness in retail investors, pulling the XRP price back up.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended Content
Editors’ Picks
Bitcoin Price Forecast: Chances of pullback increase as miner selling ramps up
Bitcoin (BTC) price extends its decline for a second consecutive day on Wednesday, trading slightly down at around $87,600 after a 30% surge since November 5 pushed BTC to a new all-time high at $89,940.
Crypto fraudster pleads guilty of taking part in $73 million laundering scheme
Daren Li, a Chinese citizen, pleaded guilty to conspiracy to help launder $73 million stolen in cryptocurrency scams. Li laundered funds using a network of shell companies and international bank accounts.
Cardano bulls show signs of exhaustion
Cardano’s price is falling on Tuesday as it faces rejection around $0.624 and traders engaged in profit-taking following the recent rally. Technical indicators show signs of weakness in upward momentum as the RSI exits from the overbought territory.
Top 3 Price Prediction Bitcoin, Ethereum, Ripple: BTC, ETH and XRP could face pullbacks
Bitcoin (BTC), Ethereum (ETH) and Ripple (XRP) trade in the red on Tuesday following strong rallies since last week, driven by crypto-friendly candidate Donald Trump's election victory.
Bitcoin: Further upside likely after hitting new all-time high
Bitcoin hit a fresh high of $76,849 on Thursday as crypto-friendly candidate Donald Trump won the US presidential election. Institutional demand returned with the highest single-day inflow on Thursday since the ETFs’ launch in January.
Best Forex Brokers with Low Spreads
VERIFIED Low spreads are crucial for reducing trading costs. Explore top Forex brokers offering competitive spreads and high leverage. Compare options for EUR/USD, GBP/USD, USD/JPY, and Gold.