XRP has had a strong 24 hours, recovering from what was a big sell off the prior day.
The entire sector was red yesterday and that dragged the price of XRP down to lows of 65 cents, before bouncing to 80 cents. After testing that level, we saw the buying come back into BTC and that also helped drag the entire space higher. Price got as high as $1.05, before falling back under that point.
In terms of news, there were more somewhat positive Elon Musk Tweets, but again, there is far too much weight in the entire space being paid to someone’s opinion. In fact, it is doing more harm than good, not in terms of what is being said, but rather that someone can have such a big influence on the sector. In some ways, it simply delegitimises it if we are to consider it a store of value.
Nevertheless, for the time being, we are simply looking at the key levels for XRP.
Clearly, the 80 cent mark is very important. For a long time, price has not been able to crack through those highs. While price did fall through it yesterday, it is still clearly a level we must be watching.
Should that level break, I believe the next key area will be around 55-60 cents. Just take a look at where most of the volume has traded. Clearly, this area will act as a very large magnet if 80 cents drops.
Given the trajectory of the sector is lower, I am fully expecting to see another test of 80 cents very soon and possibly a test of that next level as well. While this jump is nice, we must be realistic in that it is clear, Bitcoin’s bull run is over.