XRP Stuck in Limbo: Is the Bullish Momentum Running Out?
The price of XRP has been unable to make any headway in recent weeks, and it has been stagnating. The macro-scale price action of the altcoin has started to show indications of saturation following a string of recent bullish happenings.
It’s hard to forecast XRP’s next move because it’s still in a consolidation phase despite the bullish catalysts. When asked about the effect of these outside catalysts, Wanchain CEO Temujin Louie said that he believed they would not cause any rallies.
While the SEC dropping its years-long lawsuit against Ripple Labs is undoubtedly a net positive, it hasn’t triggered an immediate surge in XRP’s value because this development doesn’t directly improve utility or drive adoption. XRP remains today as it was before and during the SEC lawsuit,
Louie
The volatility has also been impacted by the continuous hype and conversations about XRP ETFs. Because of the potential of a new XRP ETF, investors have been anticipating a price spike.
Speculation around an XRP ETF hasn’t generated the same excitement as BTC or ETH ETFs. The market’s enthusiasm for crypto ETFs diminishes with each subsequent approval. The 4th, 5th and 6th-approved asset just become one of many, as the novelty of crypto ETFs wears off,
Louie
XRP Consolidation Continues: Will History Repeat Itself?
XRP is presently saturating, according to its Network Utilization and Profit/Loss (NUPL) indicator. This implies that price movement has not advanced much and that XRP needs significant market signals to move in a clear direction. XRP has gone through similar periods of consolidation in the past.
Prior to a huge spike in price in 2017, the coin consolidated for nine months. But after breaking through important levels, XRP went through a consolidation phase before plummeting. In the past, XRP also followed in the footsteps of Bitcoin, but Hank Huang, CEO of Kronos Research, hinted that things might go differently.
Despite its liquidity remaining thin within the altcoin market, lagging behind the depth of Bitcoin. XRP is neither fully following Bitcoin’s ETF-fueled ascent nor carving a clear independent path. The recent Ethereum ETF outflows, observed recently, underscore a market tilt toward Bitcoin, as investors appear to favor BTC’s perceived stability and ‘digital gold’ narrative over altcoins. This shift suggests that bullish sentiment is consolidating around Bitcoin rather than dispersing across the broader altcoin market, leaving XRP struggling to attract the institutional momentum needed to break out of its current rut,
Huang
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