XRP could surge to $2.5 amid renewed bullish optimism
Key takeaways
XRP is up 6% in the last 24 hours and is trading around $2.2.
The cryptocurrency could surge higher amid a renewed bullish potential.
XRP tops $2.2 as altcoins edge higher
XRP, the native coin of the Ripple ecosystem, is trading around $2.2 after adding more than 2% to its value in the last 24 hours. The positive performance comes as the broader crypto market recovers from the Monday dip.
Bitcoin, the leading cryptocurrency by market cap, is trading around $93k after retesting the $83k support level earlier this week. Meanwhile, Ether, the second-largest cryptocurrency by market cap, is trading above $3k and could rally higher in the near term.
The market is pumping due to renewed optimism regarding a potential Federal Reserve interest rate cut next week. The rate cut could boost Bitcoin and XRP’s price in the near term, potentially reversing the recent losses.
XRP eyes the $2.5 psychological level
The XRP/USD 4-hour chart remains bearish and inefficient despite XRP adding 6% to its value since Tuesday. At press time, XRP is trading at $2.18, which is below key moving averages, including the 50-day EMA at $2.32, the 100-day EMA at $2.47, and the 200-day EMA at $2.50.
The technical indicators remain bearish but could switch bullish once XRP overcomes the major resistance level above $2.2. The MACD histogram has turned positive and is expanding on the daily chart, with the blue line above the red signal, suggesting improving upside momentum.
Furthermore, the RSI on the 4-hour chart reads 43, suggesting a declining bearish momentum. If the recovery continues, XRP could rally towards the next major resistance level at $2.63 in the near term, with the $2.5 region a key one for the cryptocurrency.
However, if the momentum stalls, the bears will regain control, and XRP could retest the $1.9 support level once again.
