XRP Bucks Bearish Market with Unexpected 20% Rally—While Traders Scratch Their Heads

Against all odds—and a sea of red across crypto charts—XRP just posted its sharpest single-day gain in 14 months. The SEC-battered token surged past $0.58 early Tuesday, defying its usual correlation with Bitcoin’s slump.

What’s fueling the rally? Speculation swirls around a potential settlement in Ripple’s endless legal saga, though insiders whisper about a whale accumulation play. Meanwhile, retail traders FOMO in—because nothing says ’sound investment strategy’ like chasing a green candle in a dumpster-fire market.

Technical indicators scream overbought, but since when did that stop crypto? The last time XRP moved like this, it preceded a 70% crash. Place your bets accordingly.

Robust Technical Signals and Fundamental Developments

With XRP’s swift rise, a notable increase in market value was also observed. XRP surpassed Tether to become the third-largest cryptocurrency, with a market value exceeding $150 billion. Despite partial price pullbacks, XRP maintained a 24-hour price level of $2.47. Similar positive trends were reflected in derivative data. According to Coinglass, XRP futures open interest increased by 14.42% to $5.29 billion, while option trading volume rose by 76%, indicating investor anticipation of further price ascents.

Blockchain analytics firm Santiment reported that, for the first time in its 12-year history, Ripple$3’s XRP network’s user count reached 6.5 million. This was interpreted as a significant increase in interest for XRP. Furthermore, Santiment identified three primary reasons for XRP’s price rise: legislative proposals for a tax reduction on real estate gains in Missouri, over 11% growth in user numbers, and a popular travel reservation platform accepting XRP as a payment method.

Santiment: “The use of XRP on mainstream platforms like credit cards and legislative changes are positively affecting XRP prices.”

Additionally, the easing of trade tensions between the US and China added momentum to the crypto market on Monday, leading to price increases for many digital assets, including Bitcoin$103,241. These developments have contributed to XRP diverging from the overall market outlook and moving upward.

Future Expectations from Market Experts

Renowned market analyst Dark Defender provided positive forecasts for XRP. He suggested that XRP has strong potential for returns over the next three months, noting the commencement of the “third wave” in technical analysis with specific price targets.

Dark Defender: “My short-term targets for XRP are $3.33 and $5.85; in the long term, there’s potential for $36.”

According to the analyst, $2.3620 and $2.2222 serve as key support levels. If these levels are maintained, the price targets could be achievable.

XRP’s market dominance continues to rise among the general crypto market and alternative digital assets. Experts believe that if this trend persists, higher price levels for XRP may be tested.

The noticeable increase in investor interest compared to previous periods and the expansion of mainstream use cases have strengthened XRP’s position in the sector. In the short term, XRP’s price movements are expected to parallel market developments, while in the long term, regulatory actions and the growth of its user base will likely have a significant impact. Potential investors need to closely monitor price movements and support-resistance levels while considering current legal and technical developments.