XRP is in the throes of an intense rally that has allowed the crypto to climb up to highs of $0.27, with today’s rally marking an extension of the bullish momentum that was incurred yesterday when it surged up to $0.25.
This momentum has come about as the aggregated crypto market faces some bearish turbulence, allowing XRP to significantly outperform both Bitcoin and other major altcoins.
Analysts are now noting that they anticipate the cryptocurrency to see heightened volatility as its daily close approaches, and how it responds to a few key levels could offer significant insight into the long-term significance of this rally.
XRP Races To $0.27 as The Crypto Market Faces Bear-Favoring Turbulence
At the time of writing, XRP is trading up just under 8% at its current price of $0.27, which marks a notable climb from daily lows of under $0.25, and a massive surge from its weekly lows of $0.23 that were set early last week.
The crypto’s rally today has come as Bitcoin moves down towards $9,000, which has subsequently led most major altcoins to shed most of the gains that they incurred throughout the latter part of last week.
In the near-term, analysts are slightly cautious about getting too excited about XRP, as the resistance that exists around $0.30 may prove to be insurmountable.
DonAlt, a prominent cryptocurrency analyst on Twitter, spoke about this in a recent tweet, telling his followers that the crypto’s current price region is where all the risk exists.
“XRP update: Going according to plan, I TPd early to avoid the $0.25-$0.30 resistance area which is where pretty much all of the risk is. As I stated early in the thread, $0.30 is the number to beat, until that happens all of this is a bear market retracement,” he explained.
Going according to plan, I TPd early to avoid the $0.25-$0.30 resistance area which is where pretty much all of the risk is.
As I stated early in the thread, $0.30 is the number to beat, until that happens all of this is a bear market retracement. pic.twitter.com/mMEyvJl6yF
— DonAlt (@CryptoDonAlt) February 4, 2020
These are the Factors That Could Allow the Crypto to See Further Momentum
The long-term significance of this ongoing rally should be elucidated by where it ends the day, as a bullish daily close could lead to a bullish Kumo twist and could also potentially allow XRP to push above its 200-day moving average.
“Observe the daily close. Currently broke out of the daily Kumo and running against the 200MA, a Kumo Twist is very likely to happen soon too. This daily close will get very interesting for XRP,” TraderSmokey – another popular crypto analyst – explained in a recent tweet.
Observe the daily close
Currently broke out of the daily Kumo and running against the 200MA, a Kumo Twist is very likely to happen soon too.
— Smokey (@TraderSmokey) February 4, 2020
It does appear that XRP could be the dark-horse of 2020, as it may soon enter a macro-uptrend that allows the crypto to post significant gains.
Featured image from Shutterstock.