On Monday, the price of the 3rd-biggest cryptocurrency by total value increased by 16% , buoyed by speculation it could soon see a large exchange listing.
Actually, comments on social networks display investors now expect XRP price to expand Monday’s profit ahead of supposed appearance by CEO Brad Garlinghouse on CNBC’s «Fast Money» Tuesday. Apart from this, it is said to be on the program is Coinbase COO Asiff Hirji, a probable coincidence that’s raising assumption the main U.S. exchange will encourage XRP trading.
At the moment, Coinbase offers trading for bitcoin, bitcoin cash, litecoin and ether, meaning the addition of XRP could provide a new outlet for retail selling.
Nevertheless, while ins about the emergence are poor (it’s not clear if the two will be appearing together, and neither has tweeted plans for the show), XRP is trading at $1,05, having appreciated 16%in the last 24 hours, according to some reports.
Another potential driver is a rapid rise in S. Korean trading volumes, with 4 out of top 10 exchanges by trading volumes being based in the Asian nation. Actually, Bithumb, in particular, has seen its XRP commodity turnover increased by 30% on the day.
The given diagram (prices as per Bitfinex) displays:
- XRP formed a base around $0.86 (78,6% Fibonacci retracement of the rally from the Dec. 7 low to Jan. 4 high) and staged a solid rally from the rising trendline support (drawn from the Dec. 7 low and Feb. 6 low).
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The relative strength index (RSI) has turned bullish (above 50,00 and growing).
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The 5-day moving average (MA) and the 10-day MA trend northwards, indicating short-term bullish setup.
The sole factor that could be named as the one favoring the bears is the bearish 50-day MA and 10-day MA crossover.
Yet, long-term moving average crossovers are lagging indicators. Thus, XRP looks set to take out the degressive trendline (drawn from the Jan. 28 high and Feb. 17 high) opposition.
The growth in the XRPUSD long positions increases trust to the rapid growth in prices and points the gains are stable. An uptick in prices and a no change in long positions or a fall in long positions would have indicated a bull snare.
Review
XRP will likely close today (as per UTC) over $1,04329 (descending trendline opposition on the daily chart), signaling a bullish breakout on the diagrams. Prices could then revisit $1,38 (61,8% Fibonacci retracement) and $1,4060 (Jan. 28 high).
On the other hand, a daily close (as per UTC) under 0,8610 (78,6% Fibonacci retracement) would signal a bullish-to-bearish trend change and would allow for a deeper sale to $0,5729 (Feb. 6 low).
