Ripple’s XRP token is experiencing a period of high volatility as FOMO (fear of missing the opportunity) appears to have impacted the entire cryptocurrency market. XRP price rose more than 50% from $ 0.44 to $ 0.66.
Earlier in the morning today, XRP price dropped as low as $ 0.54017, an intraday low before taking action. As the selling pressure eased, XRP started to rise steadily and rose again to the $ 0.6 level.
At the time of writing, the third largest cryptocurrency is trading at $ 0.60049, with 3.61% gain. Ahead of XRP is the first major resistance level of $ 0.6449. In the event of an extended rally, Ripple’s XRP could test for $ 0.70 resistance. The second major resistance is located at $ 0.7114. Failing to hold at $ 0.60 could bring the first major support level of $ 0.5261 back into the picture.
While XRP appears to be heading for higher levels, it could be doomed to a short-term retracement before reaching the new annual highs.
It should be noted here first of all that the statement is a very strong “condition”. MagicPoopCannon has made it clear that there must be an emerging market precondition. Increase in an asset with the increase in the general market must be “natural”. In other words: Anyone who buys a cryptocurrency or other asset that doesn’t rise when the general market rises is likely made a bad choice. Rather, the decisive question is whether a single currency like Ripple (XRP) will outperform the general market. If this is the case, the investor again made a good choice, because he managed to leave the market, which is accepted as the benchmark, behind. Therefore, if Bitcoin sustains its momentum, investors are likely to expect further increases in Ripple’s price.
It should also be noted that as part of the Spark Token Airdrop from the Flare Network, the overall interest and demand for Ripple has increased significantly. As the following data from eToro shows, tweets mentioning XRP increased by an average of 152% for 30 days. It is likely that many newcomers have heard of the cryptocurrency for the first time, and this could provide further positive momentum in Ripple (XRP) in the medium term.