- XRP/BTC shows bullish momentum, testing key support for potential upside rally.
- Surge in XRP derivatives market activity indicates increased investor participation.
- Key resistance at 0.00002548 BTC could trigger further bullish movement for XRP.
XRP’s price action against Bitcoin (XRP/BTC) has shown promising signs of bullish momentum, particularly after a key support zone was tested. According to CrediBULL Crypto, the blue-shaded region on the 4-hour chart, ranging from 0.00002192 BTC to 0.00002159 BTC, has acted as a strong demand zone.
The price’s positive reaction from this level has triggered expectations for further upward movement, and analysts believe a potential double bottom pattern could form, signaling a solid bullish setup. With XRP’s derivatives market also heating up, investors are closely monitoring this trading pair for more developments.
Trend Analysis and Key Levels
The price chart for XRP/BTC on a 4-hour timeframe reveals a clear Elliott Wave impulse structure, suggesting the start of a bullish trend. Following the completion of the five-wave structure, a retracement took place, likely driven by profit-taking or temporary consolidation. This retracement led to the price finding support at the aforementioned blue zone, which is now a critical level for bulls.
If the price holds above this support, further upside is expected. However, a failure to sustain above the zone could bring the price back to lower levels, potentially invalidating the bullish outlook.
Support and Resistance Zones
Key levels are forming in the current price action, with immediate resistance located at 0.00002548 BTC. This level has seen selling pressure, but a breakout above it could signal continued bullish movement.
Further resistance is expected around 0.00003061 BTC, aligning with a previous peak. The ultimate target for the upward momentum is seen at 0.00003998 BTC, a significant psychological and technical resistance level. Consequently, a breakout above 0.00002548 BTC could lead to a rally toward these higher resistance zones.
Short-Term and Long-Term Projections
In the short term, the price action suggests a bullish outlook, with potential for a rally if XRP/BTC breaks above 0.00002548 BTC. Should this occur, the next targets would be 0.00003061 BTC and 0.00003998 BTC. However, in the bearish scenario, failure to maintain support at the blue zone could trigger a retest of lower levels, which would challenge the bullish structure.
Derivatives Market Activity
As of press time, the price of XRP is $2.36, with a 24-hour trading volume of $10.66 billion. XRP has risen by 10.82% in the past 24 hours. Besides price action, XRP’s derivatives market has been active, with a notable surge in trading volume. As per Coinglass data, over the past 24 hours, XRP’s trading volume has increased by 153.35%, reaching $11.55 billion.
Furthermore, open interest in XRP derivatives has grown by 27.20%, totaling $2.48 billion. This indicates increased market participation and heightened investor interest in XRP.
Additionally, options trading has seen a significant rise, with options volume surging by 561.28%. Liquidation data shows that short positions have faced considerable liquidations, amounting to $11.16 million, which reflects ongoing volatility in the market.
